Luhanskteplovoz cuts 2012 revenue guidance by 25%

Обзоры по компаниям и отраслям 15.11.2012 The management of Luhanskteplovoz (LTPL UK) reduced its revenue guidance for 2012 by 25% to UAH 1.8 bln, the company’s CEO said on Nov. 14 via Interfax. The new guidance implies 15% yoy revenue growth in 2012 and a 70% yoy increase to UAH 3.0 bln for 2013. The CEO confirmed the company’s output target of 156 locomotive sections for 2012 (up 53% yoy) while it expects 2013 output to rise 60% yoy to 250 units. Roman Dmytrenko: The revenue guidance review for 2012 is a small surprise. The company reported only 4.1% yoy output growth in value terms to UAH 1.2 bln for 9M12 back in October, indicating the revenue target of UAH 2.4 bln for 2012 is unreachable. Though the production plan of 250 locomotive sections for 2013 looks realistic, the UAH 3.0 bln revenue guidance for 2013 might be missed again owing to pricing issues surrounding locomotive supplies indirectly related to RZD.