Brief: Latecoere Expects To Deliver Significant Organic Revenue Growth in 2019

Latecoere SA

05/12/2018 17:06

Dec 5 (Reuters) - LATECOERE SA  LAEP.PA :
    * ADJUSTS ITS OUTLOOK FOR 2019
    * FASTER THAN EXPECTED REVENUE GROWTH IN INTERCONNECTION
SYSTEMS
WILL DRIVE THE GROUP’S ORGANIC GROWTH IN 2019
    * GROUP'S 2019 RECURRING OPERATING MARGIN WILL REFLECT:*
ADDITIONAL INTERCONNECTION SYSTEMS START-UP COSTS AND
INVESTMENTS TO SUPPORT GROWTH
    * BUSINESS WINS RECORDED BY LATÉCOÈRE'S INTERCONNECTION
SYSTEMS
DIVISION IN 2018 WILL REQUIRE NEW START-UP COSTS
    * SEIZING OPPORTUNITIES WILL GROW OUR MARKET SHARE BUT WILL
IMPACT
DIVISION'S PROFITABILITY IN 2019
    * LATÉCOÈRE’S PREVIOUS EXPECTATIONS REMAIN VALID FOR 2018
    * GROUP'S 2019 RECURRING OPERATING MARGIN TO REFLECT:
DETERIORATING AEROSTRUCTURES PRODUCT MIX AND DELAYED BENEFIT OF
INSOURCING OF PRIMARY PARTS
    * IN 2018 GROUP REVENUE TO BE IN LINE WITH 2017 EXCLUDING
CURRENCY
EFFECTS, AND H2 RECURRING MARGIN TO BE BETTER THAN H1
    * WE REMAIN TOTALLY FOCUSED ON EXECUTING OUR TRANSFORMATION
2020
PLAN
    * IN 2019, LATÉCOÈRE NOW EXPECTS TO DELIVER SIGNIFICANT
ORGANIC
REVENUE GROWTH EXCLUDING CURRENCY EFFECTS.
    * IS CONFIDENT THAT 2018 NEW CONTRACTS WILL BECOME MARGIN
ACCRETIVE FROM 2020 ONWARDS
    * SOME OF COST REDUCTIONS ORIGINALLY PLANNED IN 2019 WILL
OCCUR
ONE YEAR LATER

Source text for Eikon:  ID:nACT56208 
Further company coverage:  LAEP.PA 

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