Tessenderlo hits 10-year low after outlook cut
19/12/2024 09:31
** Shares in Tessenderlo TESB.BR fall as much as 8% to
their lowest since November 2014, after the Belgian chemicals
group cut its annual core profit guidance
** The company now expects its 2024 adjusted EBITDA to be
15-20% lower than in 2023, compared to the previously expected
5-10% drop
** KBC Securities analysts note the bigger drop is mainly
due to a weaker-than-expected performance in the group's
Bio-Valorization and Agro segments
** However, KBC says Tessenderlo's buyback program and solid
balance sheet mean the valuation is still attractive, and
reiterates "accumulate" rating with a lower PT of EUR 28
** The shares are down 7.1% as of 0927 GMT, on track for
their worst day since March 27 if the losses hold
(Reporting by Johan Bodinier)
((Johangeorgesroger.bodinier@thomsonreuters.com))