The company’s board of management said that based on a successful H1 2018 and the continuing strength of market demand, it expects revenue during the current financial year to reach €1.6 billion – up from €1.479 billion in 2017.
The new revenue forecast comes in the wake of an announcement of arbitration leading to the suspension of the six-week strike at the company’s important supplier, Neue Halberg-Guss. DEUTZ says this development is expected to stabilise the situation in the supply chain within a very short period of time.
Until now, DEUTZ had only forecast a significant increase in revenue without specifying a figure. The off-highway engine heavyweight now forecasts a modest increase in its EBIT margin before exceptional items to at least 4.5%.
DEUTZ stresses that its new revenue forecast rests on the assumption that there will be no further strike-related disruption and that the ongoing arbitration will result in a definitive end to the dispute.
