Agfa-Gevaert: second-quarter profit drops; shares fall
(CercleFinance.com) - Belgian imaging technology group Agfa-Gevaert has reported a significant drop in second-quarter revenue and profit because of the strength of the euro and portfolio reorganisation, surprising the market and sending its shares down 4% today.
The maker of newspaper printers and diagnostic imaging systems said recurring operating profit before restructuring and non-recurrent items for the second quarter came in at 49 million euros, below the 60 million euros posted for the same period one year earlier.
It also posted net profit of just 6 million euros, down sharply from the 27 millions euros posted a year ago.
Agfa said it continued to face challenges in the pre-press market due to the decline of analog computer-to-film products, competitive pressure and high aluminum prices.
The group also said it has made good progress with the restructuring of its healthCare IT activities into a stand-alone legal entity.
After these results, the company confirmed that it did not expect its full-year recurring EBITDA margin to exceed its level reached in 2017.
The shares are currently down 4% at 38.8 euros on Euronext Brussels, after dropping by as much as 6.4% when the marked opened.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The maker of newspaper printers and diagnostic imaging systems said recurring operating profit before restructuring and non-recurrent items for the second quarter came in at 49 million euros, below the 60 million euros posted for the same period one year earlier.
It also posted net profit of just 6 million euros, down sharply from the 27 millions euros posted a year ago.
Agfa said it continued to face challenges in the pre-press market due to the decline of analog computer-to-film products, competitive pressure and high aluminum prices.
The group also said it has made good progress with the restructuring of its healthCare IT activities into a stand-alone legal entity.
After these results, the company confirmed that it did not expect its full-year recurring EBITDA margin to exceed its level reached in 2017.
The shares are currently down 4% at 38.8 euros on Euronext Brussels, after dropping by as much as 6.4% when the marked opened.
Copyright (c) 2018 CercleFinance.com. All rights reserved.