PARIS, Jan 17 (Reuters) - French manufacturing group Alstom , which has agreed to merge its rail operations with Germany’s Siemens, reported higher third-quarter sales and kept its 2020 financial targets.
Alstom, in which French conglomerate Bouygues owns a stake, said sales rose 6.4 percent from a year ago to 1.76 billion euros ($2.2 billion).
Alstom confirmed its 2020 financial goals, which entail targets of aiming for sales to grow organically by 5 percent a year by 2020, and for an adjusted EBIT (earnings before interest and tax) margin of around 7 percent by 2020.
Last September, Siemens and Alstom agreed to merge their rail operations, creating a European champion to challenge the advance of China’s state-owned CRRC.
Alstom said it was making progress on the Siemens deal.
“The signature of the Business Combination Agreement is expected in the coming period and the Alstom shareholders’ meeting for approval of the transaction should be held in July 2018,” said Henri Poupart-Lafarge, Alstom Chairman and Chief Executive Officer.
$1 = 0.8165 euros Reporting by Cyril Altmeyer; Editing by Sudip Kar-Gupta