German aircraft-engine manufacturer, MTU Aero Engines, has confirmed its guidance for the year after posting higher adjusted sales and earnings for the third quarter. The company reported adjusted revenue of 1.52 billion euros ($1.61 billion), up from EUR1.35 billion in the same quarter last year.
MTU Aero Engines had previously announced that it expected a hit on its reported revenue and earnings for the year due to the Pratt & Whitney jet engines recall, and therefore chose to post adjusted figures. Despite the challenges, the company’s adjusted net profit increased to EUR138 million from EUR113 million, while adjusted earnings before interest and taxes (EBIT) reached EUR192 million, up from EUR158 million. This generated a 12.7% adjusted margin.
Analysts had predicted adjusted revenue of EUR1.53 billion, adjusted net profit of EUR136 million, and adjusted EBIT of EUR189 million. MTU Aero Engines’ outlook for the year includes adjusted revenue between EUR6.1 billion and EUR6.3 billion, with adjusted EBIT slightly above EUR800 million.
Chief Executive, Lars Wagner, acknowledged the impact of the geared turbofan inspection program on the company’s figures but remains optimistic about MTU Aero Engines’ performance moving forward.