Amberg, Germany – Automotive and transportation seat maker Grammer said it expects EBIT for the first quarter of 2020 to be 'very significantly lower than the same period of the last year' in a profits warning.
'It is difficult to predict the full effects of the coronavirus outbreak on global supply chains… and whether automotive and commercial demand will stabilise in the second half of the year,' the company said. For this reason, Grammer is forecasting a decline in sales and earnings for the full year.
The company will give its outlook for 2020 at a press conference on 30 March. However, it added, it has ditched its revenues and earnings forecast for the coming years.
The executive board is proposing a EUR 0.11/share dividend for 2019. This compares with EUR 0.75/share in 2018. The aim is to give greater financial flexibility, the company said.