OC Oerlikon's weakening outlook eclipses 'solid' 2022, shares drop
21/02/2023 08:38
(Recasts with updated share move, adds analyst comment,
milestone)
** Shares in OC Oerlikon OERL.S drop 2% in morning trade,
after deteriorating outlook overshadows the Swiss industrial
group's solid FY 2022 results
** Baader Helvea says 2023 outlook is below its estimates,
adding it had expected more resilience for FY23, as backlogs and
pent-up customer demand should have provided a softer landing
** "Solid end to FY22, but outlook confirms further
downside," Baader says
** Vontobel points to seemingly weakening trends into 2024
for the polymer processing business, flagging that estimates and
valuation will be adjusted accordingly
** The group forecast 2023 sales of around 2.8 billion Swiss
francs ($3.03 billion) at constant exchange rates, compared with
2.9 billion in 2022
** It expects operating margin of 16% to 16.5% in 2023, down
from 17.1% last year
** Shares, which had gained 1.45% in Julius Baer pre-market
trade, pare losses after falling as much as 4.7% to lowest level
in almost three years
($1 = 0.9251 Swiss francs)
(Reporting by Linda Pasquini)
((Linda.pasquini@thomsonreuters.com))