(Alliance News) - Landi Renzo Spa reported on Monday evening that it made a group loss of EUR27.7 million in the first nine months of the year, worsening from a negative result of EUR10.1 million recorded in the same period last year.

Net income attributable to the group and minority interests as of September 30, after a prudent write-down on the recoverability of deferred tax assets of EUR5.9 million made in the second quarter, showed a loss of EUR28.6 million, compared with a loss of EUR9.9 million as of September 30, 2022.

Revenues, up slightly, amounted to EUR221.1 million, from EUR216.4 million in the first nine months of 2022.

Adjusted Ebitda is negative EUR4.6 million compared to positive EUR8.7 million for the same period 2022. This performance, the company explains, is due to an unfavorable sales mix on the Green Transportation segment, with a greater weight of sales on the OEM - Passenger car channel, reduced volumes in the Clean Tech Solutions segment, and growth in fixed costs needed to strengthen the operating structure, particularly with effects on personnel costs. However, these were partially offset by a significant increase in industrial margins recorded in recent months on the OEM - Mid&Heavy Duty channel.

The company underscores that the trend of improvement in adjusted Ebitda, positive by EUR700,000, continued in the third quarter, especially when compared with the first quarter of the year, which closed with a negative adjusted result of EUR1.0 million.

Ebitda is thus negative EUR1.1 million from a positive EUR7.1 million as of September 30, 202220, including nonrecurring costs of EUR5.7 million.

Ebit is negative EUR23.0 million from a negative EUR8.9 million as of September 30, 2022.

Group Net Financial Position is EUR114.4 million from EUR92.3 million as of December 31, 2022.

The company, in the fourth quarter, expects an increase in business volume, resulting in improved profitability compared to the third quarter of the year.

Landi Renzo's stock closed Monday 1.5 percent in the red at EUR0.43 per share.

By Chiara Bruschi, Alliance News reporter

Comments and questions to redazione@alliancenews.com

Copyright 2023 Alliance News IS Italian Service Ltd. All rights reserved.