 Renault, Daimler, and Fiat have scaled down their profits forecasts amid further signs of slowing economies and falling demand from car buyers.
Having seen its third quarter revenue fall 2.2 per cent, Renault predicted a revised operating margin of around 3 per cent, down from the previous figure of 4.5 per cent.The carmaker also announced thenumber of vehicles sold will barely top last year's 2.49 million, confirming its original 5 per cent growth target would not be met.
Daimler cutback its profits forecast for the second time this year, now predicting profit of more than €6bn, down from its previous guidance of more than €7bn. Its profit before tax and interest fell by two-thirds to €648m in the third quarter.
"These are extraordinary and unprecedented times. We have taken hits in our sales, earnings and order books," said Dieter Zetsche, Daimler's chief executive.
Italian car giant Fiat said next year's profits could sink to €400m ($513m), from an expected €3.4bn in 2008.
Although Fiat posted a rise of 8 per cent in trading profits for the third quarter of 2008, and expected full year profits €3.4bn-€3.6bn, it warned demand could sink next year's profits down to €400m.
DATED: 25.10.08
FEED: MT |
# posted by Profit Training Ltd : 10:45 am
