💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Indesit Q3 net down 24.7 pct, slowdown, forex hit

Published 10/29/2008, 11:50 AM
Updated 10/29/2008, 11:52 AM

MILAN, Oct 29 (Reuters) - Italian white goods maker Indesit posted a 24.7 percent fall in third-quarter net profit on a consumer slowdown and currency volatility and warned of a "difficult" last quarter leading to lower sales for the year.

Indesit, which makes appliances from refrigerators to washing machines under Hotpoint, Scholtes, Ariston and Indesit labels, said in a statement on Wednesday net profit was 25.7 million euros ($32.76 million).

Turnover fell 9.1 percent to 858.3 million euros. At constant exchange rates, the fall was 5.4 percent.

"We are dealing with an unprecedented international crisis," Chairman Vittorio Merloni said in the statement.

"We remain confident about the company's future and are ready to take up opportunities for growth. The unfavourable exchange rates and the negative trend in our markets have not compromised our underlying strengths."

Indesit said the last few months of the year would be difficult with the consumer slowdown continuing.

It forecast turnover for the year at 3.2 billion euros and operating profit between 140-150 million euros.

At constant exchange rates, it said 2008 turnover would be down 2.3 percent while operating profit would be up between 17 percent and 22 percent.

Last year, revenue stood at 3.44 billion euros.

At 1436 GMT, shares were up 4.48 percent at 6.185 euros while Milan's Mibtel was up 6.79 percent. (Editing by David Cowell)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.