By David Sachs
Pirelli upgraded its revenue outlook for the year after reporting lower third-quarter sales but higher figures through nine months.
The Italian auto supplier on Thursday reported third-quarter revenue of 1.72 billion euros ($1.84 billion) compared with EUR1.84 billion in the same period last year. Sales for the first nine months grew 2.5% to EUR5.16 billion.
The company now sees revenue for the year finishing at around EUR6.6 billion, up from the previous target of around EUR6.5 billion.
Net profit surged 33% to EUR168.4 million in the third quarter thanks to gains from a tax benefit and improved operating performance, Pirelli said. In the first nine months, net profit was up 14.4% to EUR411 million.
Pirelli’s third-quarter adjusted earnings before interest and taxes dipped to EUR265.1 million from EUR271.9 million, with a margin of 15.4%. Adjusted EBIT for the first nine months rose 3.8% to EUR782.5 million, with a margin of 15.2%, the company said. It credited improved price and mix.
Net cash generation before dividends is now targeted between EUR450 million and EUR470 million compared with between EUR440 million and EUR470 million…
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