Written by 7:05 am EU Investment

Train maker Alstom’s sales gain steam from European orders

Jan 25 (Reuters) – French train maker Alstom (ALSO.PA) on Wednesday posted an 8% rise in third-quarter sales, helped by strong orders in Europe.

The COVID-19 pandemic and the war in Ukraine have hiked input costs and worsened supply-chain problems for train manufacturers, but a ramp-up in orders has nonetheless fuelled Alstom’s sales growth.

“The market environment remains positive with customers confirming their investment plans in all regions,” the company’s chairman and chief executive Henri Poupart-Lafarge said in a statement.

Revenue in the October-December period, Alstom’s fiscal third quarter, amounted to 4.22 billion euros ($4.60 billion), compared with 3.92 billion in the same period a year earlier.

Quarterly orders increased by 13% to 5.15 billion euros, with majority of them coming from Europe, the company said.

In December, the group signed a contract worth nearly 370 million euros to supply 49 additional Coradia Stream high-capacity trains to Renfe in Spain.

Alstom also confirmed its full-year outlook and mid-term objectives to fiscal 2024/2025.

($1 = 0.9172 euros)

Reporting by Olivier Sorgho in Gdansk;
Editing by Milla Nissi

Our Standards: The Thomson Reuters Trust Principles.

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