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MTU Aero's Updated Guidance on Margins Seen as a Positive -- Market Talk

Dow Jones Newswires ·  2021/10/29 04:11

0811 GMT - MTU Aero narrowed its 2021 guidance saying it now expects adjusted EBIT margin to come at the upper end of its previous range of 10% to 10.5% after reporting third-quarter adjusted EBIT 4% above consensus despite sales missing expectations, Citi says. The German aircraft engine manufacturer also narrowed its 2021 sales guidance and now expects sales between EUR4.3 billion and EUR4.4 billion, which is the lower end of its previous range. "We'd characterize these results/guidance narrowing as incrementally positive - the mid-point of inferred profit moves up, but is still below consensus, the cash conversion is good, but sales expectations lower," the bank says. MTU Aero trades 1.7% higher at EUR190.60. (olivia.bugault@wsj.com)

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