FRANKFURT (Reuters) - German lighting company Osram on Thursday said all its divisions fared badly in its fiscal first quarter due to a weakening Chinese market and a downturn in the auto sector leading to a net loss of 5 million euros.
“Unfavorable developments in the automotive industry, especially in China, as well as within the mobile devices sector impacted Osram in the first quarter of fiscal 2019,” the company said.
International trade disputes weakened demand for general lighting products and mobile devices and the automotive cycle has deteriorated significantly, Osram said.
“We have taken a number of measures to improve revenue and returns,” said Olaf Berlien, CEO of OSRAM Licht AG.
In January Osram reported that first-quarter revenue dropped 15 percent to 828 million euros ($942 million) compared with 939 million euros a year earlier, Osram said, adding it expected an adjusted core earnings (EBITDA) margin of 11.3 percent.
Reporting by Edward Taylor, editing by Riham Alkousaa