ThyssenKrupp chops dividend, sees return to profit

DUESSELDORF, Germany, Nov 13 (Reuters) - ThyssenKrupp (TKAG.DE) expects to swing back to profit this fiscal year after restructuring costs and a slump in steel demand pushed it into a deep 2008/09 pretax loss and made it slash its dividend.

Germany's biggest steelmaker proposed on Friday paying a dividend of 0.30 euros per share, down from 1.30 euros the previous year.

"We anticipate that sales will stabilise in fiscal 2009/2010. Earnings are expected to improve significantly and return to profit, thanks in no small part to the cost-cutting programmes we have introduced," Chief Executive Ekkehard Schulz said as the company released results ahead of schedule.

ThyssenKrupp said it "feels the currently emerging economic recovery is still fragile" and "one cannot rule out a small dip in 2010".

ThyssenKrupp lost 2.364 billion euros ($3.52 billion) before tax in the fiscal year to Sept. 30, 2009. Adjusted for one-offs, the loss amounted to 734 million euros.

Two German newspapers had reported the figure on Thursday. [ID:nLC464983]

For the year to Sept. 30, 2010, ThyssenKrupp said it expects to post a pretax profit in the "low-three-digit-million euro range" excluding one-offs but including project costs for new steel plants in Brazil and the United States.

(Reporting by Marilyn.Gerlach; Editing by Michael Shields)