Austria's Voestalpine sees annual earnings at low end of forecast range (updated)

Voestalpine AG

Wed 08:41

Adds details on comparison period and share reaction in bullet points 1 and 3.
Nov 11 (Reuters) - Austrian steelmaker Voestalpine VOES.VI forecast annual core earnings at the lower end of its previously disclosed outlook range on Wednesday, citing continued cost pressure on energy and logistics due to the Iran war and effects of additional temporary US tariffs.
It expects earnings before interest, taxes, depreciation and amortisation of between €1.6 billion and €1.7 billion ($1.8 billion and $1.9 billion) in the financial year through March 2027, compared with €1.60 billion to €1.85 billion previously. Analysts polled by Vara were expecting €1.77 billion on average.
Q2 revenue fell 5.4% to €3.69 billion, compared with a consensus of €3.84 billion, partially attributable to the sale of speciality steelmaker Buderus Edelstahl late last year
Auto industry demand remained weak in the first half of the year, while the markets for railway infrastructure, aviation and storage technology continued to develop positively, the company said
Its shares slid 3.7% by 0834 GMT, trading at their lowest levels since July
Last week, Voestalpine joined more than 100 European manufacturers in calling for changes to proposed reforms of the EU carbon market, warning that the plans could accelerate production closures and relocations
In September, Voestalpine's management outlined plans to expand higher-margin processing and technology businesses and reduce its dependence on cyclical steel markets
($1 = 0.8957 euros)

(Reporting by Emanuele Berro in Gdansk, editing by Milla Nissi-Prussak)
((emanuele.berro@thomsonreuters.com))