GN Store Nord to double ReSound margin in 2013 -CFO
COPENHAGEN May 3 (Reuters) - Danish hearing aid and headset maker GN Store Nord said it expected to double the profit margin in its hearing aid unit GN ReSound next year on the back of a restructuring programme launched in the fourth quarter last year.
"We are on the way to double the profit margin next year for ReSound to 20 percent," Chief Financial Officer Anders Boyer told Reuters.
The ReSound division's margin on earnings before interest, tax and amortisation (EBITA) was 8.4 percent in the first quarter.
Boyer said the group expected to see an improved profit margin in ReSound already in the next quarter, helped by a continuing restructuring programme.
The group has said the restructuring programme would result in non-recurring restructuring costs of up to 200 million crowns this year, and create an EBITA margin of "around 20 percent" in GN ReSound next year.
The company kept its 2012 guidance steady on Thursday after reporting a bigger-than-expected rise in profits and revenue for the first quarter. (Reporting by Shida Chayesteh)
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