Jungheinrich sees FY EBIT EUR160M to EUR230M, I est. EUR358.8M
Jungheinrich AG, a leading German warehouse equipment maker, has announced significant downward revisions to its 2025 financial outlook. The company's stock price plummeted by more than 15% on Thursday following the announcement [1]. The revised guidance indicates a substantial reduction in expected earnings before interest and taxes (EBIT).
The new EBIT forecast for 2025 is now projected to range between €280 million and €350 million, a significant drop from the previously estimated €430 million to €500 million [1]. This adjustment reflects a 32% reduction in reported EBIT at the midpoint, around 10% below consensus expectations [1]. The company now expects a 2025 order intake of €5.3 billion to €5.9 billion and an adjusted EBIT excluding restructuring of €370 million to €440 million, down from €430 million to €500 million previously [1].
The revised outlook is attributed to further market weakness in the forklift business in Europe and Germany, as well as continued competitive pressure [1]. Jungheinrich has unveiled a €100 million cost-saving program, involving personnel and location changes, to bolster its competitiveness [1]. This restructuring plan is expected to recognize €90 million in one-off charges, with two-thirds of the cost to be recognized in Q3 and the remainder in Q4 [1].
Jefferies analysts have noted that the company's free cash flow is now expected to exceed €250 million, down from over €300 million previously [1]. The analysts have also stated that the cost-saving measures are likely the right strategic move given the current market conditions [1].
Jungheinrich has indicated that it may further revise its forecast if it reaches a binding agreement to sell its Russian subsidiary [1]. The stock's performance has been negatively impacted by the revised outlook, with shares dropping around 10% on Thursday [2].
References:
[1] https://finance.yahoo.com/news/jungheinrich-stock-tumbles-guidance-cut-141223411.html
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TE0SG:0-jungheinrich-drops-after-outlook-cut/
Comments
No comments yet