Demant drops after profit warning

GN Store Nord A/S

17/07/2024 08:07

** Shares in Demant  DEMANT.CO  fall around 10% to November
lows after the Danish hearing aid maker cut its full-year
outlook, citing a "significant" loss of market share for the
managed care brand
    ** Demant now forecasts its organic revenue in 2024 to grow
2-4% against 4-8% seen earlier, expecting continuous low growth
in the Hearing Aids unit
    ** It cuts adjusted EBIT guidance to 4.30-4.60 billion
Danish crowns ($629-$672 million) from 4.60-5.00 billion crowns
    ** Jefferies analysts note the profit warning came in the
wake of peer Amplifon's  AMPF.MI  full-year outlook cut earlier
in July
    ** "While Demant is not blaming market conditions, we can't
help but think that worsening consumer sentiment and/or fiercer
competition... are playing a role," the broker says
    ** Peer GN Store  GN.CO  slides 2.5%, Sonova  SOON.S  is
down 4%

($1 = 6.8416 Danish crowns)

 (Reporting by Boleslaw Lasocki)
 ((boleslaw.lasocki@thomsonreuters.com; +48 58 769 66 00;))