Plastic Omnium: cuts forecasts for 2021
(CercleFinance.com) - Plastic Omnium has updated its financial forecasts for the current year, aligning its annual assumption for global automotive production in 2021 to between 71 and 73 million vehicles, down from 77 million previously.
As a result, it now expects revenue to "grow" (compared with a strong rebound), along with an operating margin of between 4% and 5% (compared with at least 6%) and free cash flow of at least 220 million euros (compared with significantly above 220 million euros).
The automotive supplier says that it has reduced these estimates due to the sudden increase in production stoppages in factories worldwide over recent weeks, amplified by IHS Markit's recent reduction of its forecasts for the sector.
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As a result, it now expects revenue to "grow" (compared with a strong rebound), along with an operating margin of between 4% and 5% (compared with at least 6%) and free cash flow of at least 220 million euros (compared with significantly above 220 million euros).
The automotive supplier says that it has reduced these estimates due to the sudden increase in production stoppages in factories worldwide over recent weeks, amplified by IHS Markit's recent reduction of its forecasts for the sector.
Copyright (c) 2021 CercleFinance.com. All rights reserved.