UPDATE 1-Rheinmetall confirms outlook following solid Q3
* Q3 oper profit 30 mln eur vs Rtrs poll estimate 23 mln
* Confirms on track to post positive 2009 EBIT incl one-offs
* Sees Defense EBIT in 2009 of 190 mln eur
* Shares indicated up 0.6 pct in pre-market trade
(Adds details)
FRANKFURT, Nov 10 (Reuters) - German defence and automotive parts supplier Rheinmetall (RHMG.DE) reported higher than expected third-quarter operating profit and reaffirmed the group would be profitable this year including one-off charges.
Earnings before interest and tax (EBIT) halved to 30 million euros ($44.92 million), better than the 23 million euros on average expected in a Reuters poll of 11 analysts.
"Our efforts at Automotive are showing effect and with our rigorous cost reductions we have not only generated a positive result by the end of September, we have also sustainably made sure that even with lower sales the sector can still post a clear profit in future," Chief Executive Klaus Eberhardt said.
Rheinmetall said it was on track to post a positive EBIT in 2009 even when accounting for restructuring expenses and writedowns at its automotive division that so far this year total 71 million euros.
"Defence is expecting an EBIT of over 190 million euros while Automotive's operating loss will stay below the 80 million so far predicted," it explained.
MAN (MANG.DE) Commercial Vehicles chief Anton Weinmann has confirmed reported comments from Rheinmetall CEO Klaus Eberhardt in March that it was in talks over the joint production of armoured trucks for military use. [ID:nLO109343]
Rheinmetall reiterated the talks should conclude by year's end.
Credit Suisse has argued the deal could help Rheinmetall eventually divest its automotive division that contributed roughly half of the group's 3.87 billion euros in revenue last year but was far less profitable than its Defence division.
Rheinmetall recently began delivery of the first Boxer armoured transports and signed a deal in July to supply the German army with 405 Puma tracked infantry vehicles in a deal worth about 3.1 billion euros. (Reporting by Christiaan Hetzner, Editing by Michael Shields)
