Bang & Olufsen confirmed the estimates for the whole year, but stressed that the higher cost of components and logistics would place the margins and free cash flows in the lower range of estimates.
The Danish consumer electronics company announced losses for the third quarter of the year amounting to 16 million Danish kroner ($ 2.3 million) for the quarter ending 28 February.
Analysts expected net profits of 9 million kroner.
Profits before taxes, interest and one-offs fell to SEK 6 million from SEK 34 million, while revenue rose 11% to SEK 775 million.
The company expects that the high level of cost of components and logistics will continue throughout the year, burdening profits and cash flows.
“As a result, the company expects earnings and pre-tax profit margins and cash flows to be at the bottom of the estimates,” the company said.
Bang & Olufsen expects fiscal year revenue to be SEK 2.9-3.1 billion, EBIT margin of between 2% -4% and cash flow of SEK 0-100 million.
Source: Capital
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