[ad_1]
© Reuters. The logo of German steelmaker ThyssenKrupp AG is seen at the gate to Haus Rheinberg, a villa used for seminars in the valley of the small stream Wisper that confluents with the Europe’s largest waterway Rhine near Lorch, Germany, September 15, 2019. REUTE
By Christoph Steitz and Tom Käckenhoff
FRANKFURT/ESSEN, Germany (Reuters) -Thyssenkrupp said on Thursday it would propose its first dividend in four years on the back of buoyant steel and materials markets, but warned that profits and sales would fall significantly in 2023 as prices come down again.
The dividend proposal of 0.15 euros is on par with the company’s last shareholder payout for the 2017/18 fiscal year, but lower than an estimate of 0.19 euros on Refinitiv.
The submarines-to-car-parts firm still gave a muted outlook for the current fiscal year ending in September 2023, saying it expected sales and profits to fall as prices drop again.
“No one can tell how big the challenges will be or how long they will last. However, we are preparing for the worst-case scenario,” said Chief Financial Officer Klaus Keysberg.
Sales in the 2022/23 fiscal year are expected to fall significantly from 41.1 billion euros ($42.7 billion) in 2021/22, while adjusted operating profit is seen more than halving to a high triple-digit million-euro amount at best, down from 2.1 billion.
Thyssenkrupp (ETR:) shares were indicated to open flat in pre-market trade, with one trader saying the outlook was “too cautious for shares to open higher”.
Refinitiv estimates show 2023 sales are expected to decline by 11% to 36.5 billion euros. Thyssenkrupp said that, apart from falling prices, higher energy costs were also a key driver of the expected decline.
($1=0.9628 euros)
[ad_2]
Image and article originally from www.investing.com. Read the original article here.