MILAN, July 31 (Reuters) - Italy’s defence group Finmeccanica on Thursday reported an 18 percent drop in first-half core earnings after cuts in defence budgets, mainly in the United States, hurt sales, but the company confirmed its guidance for the full year.
This is the first set of results under CEO Mauro Moretti, who was appointed by the government of Prime Minister Matteo Renzi in a broad management reshuffle of state controlled companies earlier this year.
Investors are keen to know about his strategy to revive the heavily indebted company and a new business plan is expected by the end of the year.
Adjusted core earnings, or before interest, tax, depreciation and amortisation (EBITA) stood at 351 million euros ($470 million), while total revenues fell 1.1 percent to 6.6 billion euros.
New orders in the period stood at 7.18 billion euros, up 43 percent on the first half of last year, while net debt fell to 4.84 billion euros from 5.2 billion euros last year. ($1 = 0.7467 Euros) (Reporting by Agnieszka Flak)