Gurit’s Asian activities slowed by the pandemic

news-single-imgcaption" style="width:240px">Composite materials specialist Gurit suffered the full force of the coronavirus crisis. (Keystone)

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Composite materials specialist Gurit suffered the full brunt of the coronavirus crisis in its operations in Asia. In the first quarter, its revenues contracted sharply, but slightly less than expected by analysts. Some Gurit factories were closed before being reopened, the company said.

The turnover contracted by 4.6% over one year to 136.1 million francs, indicates this Wednesday the Saint-Gallois group. At constant exchange rates (cc), an increase of 0.9% is recorded. For continuing operations (excluding Composite components), revenues reached 134.7 million (-2.6% or + 3.0% cc). The main Composites Materials division posted revenue growth of 9.1% (+ 15.2% cc) to 66.2 million francs. The Kitting (building parts solutions) unit also experienced strong growth, of almost 40% or 49% cc, to 48.1 million. The Tooling parts activity saw its revenue drop from 46% to 19.5%. The aeronautics division is also pulling back (-6.8% to 13.4 million)

Revenues from continuing operations are exactly on par with analysts’ forecasts, which are very divided on the subject. At the division level, Composite Material has disrupted expectations, Aerospace is in the air, while the other units have disappointed.

The management confirmed its ambitions for the financial year 2020, i.e. a turnover of around 600 million francs, an operating margin between 8.5 and 11.0%. These forecasts are however conditioned by the coronavirus, respectively to what extent the pandemic will affect business. (AWP)

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