MOSCOW (MRC) -- Swoss Gurit, a worldwide leading developer and manufacturer of advanced composite materials, components and technologies, has announced a revaluation of its operating profit potential for fiscal year 2018 and both restructuring and divestment of Composite Components business in 2019, as per MarketScreener.
Operating profit margin for the full year 2018 is now expected to come in at 6.5-7.5 % of net sales.
Based on the recent business performance with continued losses in the Composite Components business, the Company revises its operating profit guidance down from the previously communicated mid-level of the 8-10% target range to an expected 6.5-7.5% operating profit margin range for the full year 2018. This is caused by higher losses and restructuring expenses in Composite Components compared to what was expected at half year 2018.
Without the losses in Composite Components, Gurit would have exceeded the margin guidance range of 8-10% in CY 2018 in its continued business.
Gurit has decided to restructure the Composite Components business and to concentrate the component manufacturing in Hungary in 2019. Moreover a divestment process for Composite Components has been initiated.
As MRC informed before, in June 2017, Gurit announced that it had renewed its distribution agreement with Maricell S.r.l., an Italian producer of closed-cell PVC structural foam. Under the terms of the agreement, Gurit will continue to distribute all Maricell PVC globally until December 31, 2020, with further extension options.
The companies of Gurit Holding AG, Wattwil/Switzerland, (SIX Swiss Exchange: GUR) are specialized on the development and manufacture of advanced composite materials, related technologies and select finished parts and components. The comprehensive product range comprises fibre reinforced prepregs, structural core products, gel coats, adhesives, resins and consumables. Gurit supplies global growth markets with composite materials on the one hand and composite tooling equipment, core material wind turbine blade kits, structural engineering and select finished parts on the other. The global Group has production sites and offices in Switzerland, Denmark, Germany, Hungary, Italy, Poland, Spain, the U.K., Turkey, Canada, the U.S.A., Ecuador, New Zealand, India and China.