Verbund Shares Plunge After 2014 Profit Warning : Vienna MoverJonathan Tirone
Shares in Verbund fell the most in more than two years after Austria’s biggest utility warned that 2014 profit won’t match analyst estimates.
Verbund fell as much as 8.4 percent, the biggest intraday drop since September 2011, and traded down 7.4 percent at 15.26 euros at 4:38 p.m. in Vienna.
Verbund published the outlook “due to significant deviations on the consensus in the market,” the Vienna-based company said today in a statement. Weakening electricity prices, driven down by overcapacity and subsidies, will hurt full-year profit.
Earnings before interest, tax, depreciation and amortization will be about 850 million euros ($1.16 billion) in 2014 with net income of about 150 million euros. Analysts had expected 944 million euros Ebitda and 276 million euros net income, according to data compiled by Bloomberg.
Verbund will report full-year 2013 results March 5.