Recovery in energy business keeps Prysmian on track for FY targets

Milan-listed shares in Prysmian turned positive

  

MILAN- Italy's Prysmian said on Thursday its results and margins improved in the third quarter especially in the energy business, putting it on track to meet its full-year goals.

The world's largest cable maker said its adjusted earnings before interest, tax, depreciation and amortization (EBITDA) fell 16.3% in the first nine months of this year to 647 million euros ($765 million). That was slightly above a company-provided market consensus of 633 million euros.

Milan-listed shares in Prysmian turned positive after losing 1.7% before results were published. By 1420 GMT they were up 0.4%.

"Our results for the first nine months of 2020 confirm Prysmian Group's resilience in response to the extremely negative effects of the COVID-19 pandemic," Chief Executive Valerio Battista said in a statement.

"Particular mention should be made of the recovery of the organic sales trend in the third quarter across almost all business areas, but especially in energy," he added.

Prysmian in July guided for an adjusted EBITDA of 800-850 million euros this year, after earlier withdrawing a previous full-year guidance following a slump in earnings at the start of the coronavirus crisis. Free cash flow is projected at between 200-300 million euros this year. ($1 = 0.8461 euros)

(Reporting by Giulio Piovaccari; editing by Agnieszka Flak) ((giulio.piovaccari@thomsonreuters.com; +39 02 6612 9743; Reuters Messaging: giulio.piovaccari.thomsonreuters.com@reuters.net))

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