Alstom, a French company, is the market leader in first-quarter sales
Alstom, a French train manufacturer, reported Wednesday slightly higher sales than expected for the first quarter of its fiscal year, due to the ramp-up in Germany of new projects and the continued execution of existing projects in France, Italy, and the U.S.
Alstom, a manufacturer of trains and signalling for urban and regional railway networks, reported sales of 4,51 billion euros ($5.3billion), an increase of 7.2% organically. Analysts had expected sales of 4.4billion euros and organic growth at 5.3%.
Alstom has been struggling to recover after its expensive 2021 purchase of Canadian firm Bombardier’s rail business. It reported first quarter orders at 4.1 billion euro, in line Visible Alpha's consensus.
In a press release, CEO Poupart-Lafarge stated that the group has "a strong outlook on the pipeline for second quarter", adding that momentum is expected in North America.
This quarter, the French train manufacturer, who is looking for a new chief executive officer, secured several large contracts, including one worth 1.7 billion euros in France, and another worth 600 million euros in Bulgaria. These deals boosted their orders during this quarter.
Alstom has confirmed that its organic sales will grow between 3% and 5 percent, with an adjusted core profit margin around 7%, and generate free cash flow in the 200-400 million euro range. $1 = 0.8521 Euros (Reporting and Editing by Vijay Kishore, Milla Nissi and Milla Peverieri)
(source: Reuters)
