Gestamp has posted third-quarter net profit of EUR28.4m (US$33m), similar to Q3, 2019 despite higher FX impact and higher outflow of minority interests due to a better performance in those perimeters.

Revenue during Q3, 2020 reached EUR2.04bn, up 5.3%.

Strict cost control and execution of the Transformation Plan announced in July despite sales stabilisation, led to profitability increase. Efforts have been focused on consolidating reductions in labour and operating expenses across the group, as well as specific actions in line with objectives and timings of the plan.

Results for the first nine months have been hampered by Q2, 2020 and the impact of COVID-19. Performance during 9M,2020 has improved versus H1,2020 as a result of Gestamp's Q3, 2020 results.

"Gestamp's results in Q3 have been solid with an increase in EBITDA and strong FCF generation despite continued challenging market conditions," said Gestamp executive chairman, Francisco Riberas.

"The Group has managed to increase its profitability to levels above 2019 and reduced its net debt significantly to levels close to Q4, 2019.

"We will continue focused on executing our Transformation Plan to help drive future profitability. We will preserve and enhance our long-term strategy with our customers taking advantage of our technological positioning for EVs."

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https://gestamp.com/Media/Press/Press-Releases/2020/Gestamp%E2%80%99s-Q3-results-improved-versus-2019

Original source: https://gestamp.com/Media/Press/Press-Releases/2020/Gestamp%E2%80%99s-Q3-results-improved-versus-2019