MTU Aero Engines revises guidance at half-year

MTU Aero Engines increased its revenues by 19 % to €1,852.2m in the first six months of 2013 (1-6/2012: €1,559.0m). Operating profit for the period came to €171.7m (1-6/2012: €175.8m), which corresponds to an EBIT margin of 9.3 % (1-6/2012: 11.3 %). The group’s net income amounted to €105.1m, compared with €109.7m in the first six months of 2012. “Our commercial series business registered strong growth in the first half year as planned. It is of vital importance to MTU’s future growth, but it initially cushions the earnings development. At present, the spare parts business is unable to fully counterbalance, because sales have been lower than expected in certain programs. Moreover, business in the industrial gas turbine sector is stagnant,” explained Egon Behle, CEO of MTU Aero Engines AG. “We expect to see only a moderate improvement of this trend in the second half of the year and have therefore decided to specify our full-year revenue estimate and to revise our earnings guidance.” MTU now expects to generate revenues of around €3.7bn in 2013, in line with its earlier forecast of an increase of between 10 and 12% (group revenues 2012: €3,378.6m). MTU’s earnings guidance now foresees an operating profit (adjusted EBIT) of around €375m, i.e. on the level of last year (2012: €374.3m), and an adjusted net income of around €235m (2012: €233.4m). Until now, each of these two figures had been expected to increase by 10 to 12%.