(Reuters) -German electronics retailer Ceconomy said on Tuesday it expected to slightly exceed its earnings forecast for the 2024/2025 financial year, with CEO Kai-Ulrich Deissner adding the
Ceconomy Anticipates Surpassing Profit Expectations Amid JD.com Takeover
(Reuters) -German electronics retailer Ceconomy said on Tuesday it expected to slightly exceed its earnings forecast for the 2024/2025 financial year, with CEO Kai-Ulrich Deissner adding the Dusseldorf-based firm was "on the right track" with its growth strategy.
WHY IT'S IMPORTANT
Europe's largest consumer electronics retailer, which runs physical chain stores under the names MediaMarkt and Saturn, is the subject of a takeover offer by Chinese tech giant JD.com. Shares of Ceconomy have gained 69% year-to-date, hovering at around 4.40 euros per share since the bid for 4.60 euros per share was announced at the end of July.
BY THE NUMBERS
Preliminary figures for the full year show an adjusted operating profit of around 380 million euros ($443 million), compared to the company's latest guidance of around 375 million euros. Fourth quarter sales from July to September were up 7% at 5.38 billion euros.
KEY CONTEXT
Germany's federal cartel office approved JD.com's acquisition of Ceconomy in September.
CEO Deissner said he believed the Dusseldorf-based company would be able to grow faster and gain access to leading technologies after the takeover offer was launched.
($1 = 0.8575 euros)
(Reporting by Matthias Inverardi and Bernadette Hogg, editing by Milla Nissi-Prussak)
