Alstom Shares Fall 25% as German Train Delays Deepen Pressure

Alstom shares fell 25% in Paris on Monday, marking their steepest intraday decline since mid-April as delays on German train projects accompanied a fresh cut to the French railmaker’s fiscal forecast. The company withdrew its cash flow guidance in mid-April. Alstom now expects an adjusted operating margin of about 1%, down from 6.5%, and a free cash flow outflow of €1.5 billion. It also lowered its production target to about 4,000 rail cars from a range of 4,400 to 4,500. Technical issues with Coradia Max regional trains required retrofits during production.

Source: TokenPost