Zumtobel Falls as It Sees Euro Crisis Worsening: Vienna Mover
Zumtobel AG (ZAG), Europe’s biggest maker of industrial lighting, plummeted the most in more than five years in Vienna after the company cut its full-year forecasts on the risk that the euro crisis may worsen.
The shares fell 14 percent, the biggest drop since January 2008, to 9.015 euros at the 5:30 p.m. close in Vienna. More than 460,000 shares exchanged hands, nine times the average daily volume over the past three months.
The company said today it doesn’t expect that revenue or adjusted earnings before interest and tax for the 12 months through April will reach the prior-year levels, citing the “danger that the recent elections in Italy will further intensify the euro crisis.” Previously, it had forecast an improvement in sales and earnings.
Zumtobel generates close to 80 percent of its revenue in Europe, where it faced destocking of wholesalers and cost- cutting in the public sector. The Dornbirn, Austria-based company also said its third-quarter net loss narrowed to 10.1 million euros from 15.4 million euros a year earlier.
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