By Scott Kanowsky
Investing.com -- Shares in Thyssenkrupp AG (ETR:TKAG) inched higher on Thursday after the conglomerate reported better than expected third quarter operating profit despite broader economic headwinds.
Adjusted earnings before interest and taxes at the German industrial engineering firm almost tripled to €721M, ahead of company-compiled estimates of €705.4M.
The group said the increase stemmed from a 26% rise in sales, as well as improved margins at its materials services and Steel Europe units. The developments helped offset higher raw material costs and impairments from a surge in interest rates.
“In the third quarter, we once again demonstrated our improved efficiency. We will not be reducing our efforts. Given the ongoing challenges and risks in our environment, stepping up our performance is particularly important," said chief financial officer Klaus Keysberg in a statement.
Thyssenkrupp also confirmed its annual forecast for at least €2B in adjusted core income on an expected sales increase in the low-double-digit percentage range.
However, it warned of continuing geopolitical and macroeconomic uncertainties, saying that it has a "limited ability" to reliably predict the impact of these trends.