Zodiac Aerospace reports drop in first half operating profit

In the first half of its 2015/2016 fiscal year, Zodiac Aerospace generated revenue of €2,489.1m, up 7.1% in reported data, down 1.7% in organic terms. Changes in consolidation had a positive impact of 0.2 percentage points on first-half growth, while foreign exchange contributed a positive 8.6 points. Current Operating Income before IFRS 3 was €80,4m, down compared to the first half of 2014/2015. As for the fiscal year 2014/2015, this low Current Operating Income results from the difficulties encountered by the Aircraft Interiors activities, where excess costs remains high, estimated to around €110m versus budget in H1, and which are also impacted by programs in ramp up phase with a lower profitability. Aircraft Interiors activities weight for a negative €107,9m on the evolution of the Current Operating Income compared to the one of the first half of 2014/2015 financial year. Non-current operating items came to a negative €10.7m in the first half of 2014/2015 fiscal year compared to a negative €12.6 m the previous year. This was largely due to goodwill amortizations linked to IFRS 3 standard. Operating income is down -57.7% to €69.7m.