Italy's Industrie De Nora drops as Q1 results disappoint (updated)
08/05/2024 15:26
(Rewrites with shares, forecasts, CEO quote, details and
outlook)
May 8 (Reuters) - Italy's Industrie De Nora DNR.MI
reported sharply lower first-quarter revenue and net profit on
Wednesday, mainly due to a poor performance at its core
electrode technologies business, sending its shares down as much
as 6.6%.
The group's first quarter revenue fell 12.8% from a year
earlier to 189.3 million euros ($203.5 million), hit also by
adverse foreign currency moves. Net profit was down 26% over the
same period to 17.9 million euros.
The results were below one analyst's forecasts for 204.2
million euros in revenue and net profit of 19.2 million.
However, the company reported an adjusted core profit
(EBITDA) margin of 19%, in line with its 2024-2026 industrial
plan.
"We achieved solid operating profitability, confirming our
resilient business model within a challenging macroeconomic
environment," Chief Executive Officer Paolo Dellachà said in a
statement.
The Electrode Technologies and Water Technologies businesses
positively contributed to margins, with increases of 100 and
170 basis points respectively, the company said.
It added revenue took a 6 million euros hit from movements
in some Asian currencies, but forecast they would gradually
recover as early as the second quarter.
Industrie De Nora shares were down 4.9% at 1424 GMT, taking
losses for so far this year to almost 20%.
The company's backlog rose 8% from the previous quarter to
661.1 million euros, as it added around 240 million euros in new
orders in the first three months of the year.
($1 = 0.9303 euros)
(Reporting by Alberto Chiumento
Editing by Mark Potter)
((Alberto.chiumento@thomsonreuters.com))