Bang & Olufsen on Tuesday evening once again revised down its expectations.
It appears by a communication to the stock exchange.
Group headquartered in Struer is raining now with a decline in turnover in the financial year 2019/20 at 13 to 18 percent, up from a forecast of a ‘single-digit growth’.
thus, It is the fourth downgrade, the company reviews the on button a year.
– the Decline in turnover has been greater than expected, which is due to several factors – among other things, that the company’s partners ‘ sales to consumers has not been satisfactory, writes the Bang & Olufsen in the message.
– The strategic direction is unchanged, but it is clear that there must be a fundamental change of sales and marketingsindsatsen and creating a culture where we are closer to customers and partners, ” says Kristian Teär, who is managing director of B&O, in a press release.
the B&O also expect a decline in the company’s operating margin – ebitmargin – between minus 4 to minus 9 percent. Here was the expectation in the past that it would be better than last year.
Finally, projected the free cash flows to countries in a negative range between 100 and 150 million Danish kroner. The original expectation was in this area a positive cash flow.
as regards expectations for the second quarter of the financial year 2019/20 expect Bang & Olufsen a decrease in revenue of 31 percent.
the Company’s downturn started the 19. december 2018, when Bang & Olufsen was forced out in a downgrade.
the B&O had shot past its expectations as to revenue, which led to the fact that the company turned down from an expected growth of 10 percent to 0 percent.
In the course of the first half of 2019, followed two big downgrades. The turnover ended with a decline of almost 14 percent for the year.
Bang & Olufsen will publish the final accounts for the first half of the 2019/20 the 14. January 2020.
