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Vimpelcom cuts outlook as revenues fall 10% in Q1

2014-05-14 09:19:00| Telecompaper Headlines

(Telecompaper) Vimpelcom lowered its full-year outlook after reporting a weak set of first-quarter results. The company now expects a low to mid single digit decline in revenue and EBITDA this year, after previously forecasting stable results. As a result, net debt will be around 2.4x EBITDA, versus an earlier target fo 2.3x. Capital expenditure is expected to remain high, at 21 percent of revenue excluding licences. In the first quarter, revenue fell 10 percent year-on-year to USD 5.02 billion, hurt by negative currency effects and the difficult market conditions in Ukraine. On an organic basis, revenue was down 6 percent in Russia, 7 percent in Italy and Ukraine, and 1 percent in Africa and Asia, while growing 3 percent in the CIS states. Vimpelcom said it expects market conditions to remain difficult this year in its two largest markets, Russia and Italy. Group EBITDA fell 11 percent to USD 2.09 billion, and net profit plunged to USD 39 million from USD 408 million a year ago. Vimpelcom increased capex 24 percent to USD 736 million in Q1, while operating cash flow fell 23 percent to USD 1.35 billion. The group's mobile customer base was still up 3 percent year-on-year to 218 million, and all the business units posted double-digit growth in data revenues. 

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Sony cuts FY outlook on extra costs for PC exit

2014-05-01 09:08:00| Telecompaper Headlines

(Telecompaper) Sony has cut its profit forecast for its fiscal year to March 2014, due to extra costs for shutting down its PC business and a slowdown in its disc manufacturing business. The company said it will book JPY 30 billion in restructuring charges for the earlier announced exit from the PC business. These had previously been expected to fall in the following fiscal year, to March 2015, but have been moved forward. It will also book a JPY 25 billion impairment on the disc business, due to a slowdown particularly in Europe of CD and DVD sales and expected lower profitability from the activities in future. As a result, Sony expects an annual net loss of JPY 130 billion, versus a forecast in February for a loss of JPY 110 billion and a profit of JPY 43 billion in the previous year. The estimate for operating profit was cut to JPY 26 billion from 80 billion, while the sales outlook slightly increased, by 0.9 percent to JPY 7.77 trillion.

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JAPAN: Fast Retailing cuts FY outlook on domestic weakness

2014-04-10 18:35:40| Daily apparel & textile news and comment - from just-style.com

Fast Retailing, owner of the Uniqlo casual clothing chain, has cut its full-year earnings and sales forecast on the back of weaker demand in its home market.

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World Bank cuts China growth outlook

2014-04-07 08:14:26| BBC News | Business | UK Edition

The World Bank trims its growth forecast for China citing a "bumpy start to the year", but says reforms should help it achieve more sustainable growth.

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ConAgra cuts outlook, blames private-brands division

2014-02-11 15:32:03| Agriculture - Topix.net

ConAgra Foods Inc. lowered its outlook for the year ending in May, pointing to a longer-than-expected time frame to turn around its private-brands segment, along with weaker-than-expected volumes in its consumer foods segment.

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