German industrial conglomerate Thyssenkrupp on Thursday reported lower losses in the third quarter, flagging up three struggling businesses and slashing its forecasts as it tackles a massive restructuring. Essen-based Thyssenkrupp lost 77 million euros ($86 million) in April-June, the third quarter of its financial year, it said in a statement.
In 2018 it had lost 114 million euros over the same period.
Meanwhile revenues held steady, at 10.8 billion euros, but operating, or underlying profit plunged 25 percent, to 183 million euros.
Thyssenkrupp said its woes over its first nine months - with a net loss of 170 million euros, after a profit of 229 million last year - were due to "increasingly weaker global economic momentum, a marked downturn in the automotive sector and continued high import pressure for steel."
"Added to this was the massive increase in raw material prices, especially for iron ore," the group said.
Bosses highlighted three units they saw as "currently not competitive": a business making springs and stabilisers for car chassis, one building production lines for automakers and a third building heavy steel plate for construction, shipbuilding and pipelines.
While it will first attempt to restructure the operations, "the company will examine other strategic options" if necessary.
Thyssenkrupp, whose products range from submarines to car parts, elevators and construction materials, gave up on a joint venture in steel with India's Tata when the European Commission's competition arm would not wave it through.
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