Leoni raises 2010 sales and earnings forecasts by more than 20 percent to between €2.6 and €2.7 billion

Leoni says it now expects to generate sales of between €2.6 and €2.7 billion, thus achieving a year-on-year increase of between 20 and 25 percent. Earnings before interest and taxes (EBIT) are now put at around €100 million.

In regional terms, it says the primary sales drivers are Asia and North America, where its European customers are recording strong sales increases. More comprehensive reporting with further key figures will follow as scheduled on 10 August 2010 with presentation of the final business results for the second quarter.

Altogether, the company told pv magazine it generates sales of between €30 and €40 million per year with the solar industry. It added that the industry belongs to the central fields of actions it sees regarding its aim to become "the most innovative producer of cables for green technology".

Due to the improved macroeconomic conditions and specific sales projections for the months ahead, Leoni also anticipates a far better than previously forecast trend of business in the second half of the year. The reasons for the better-than-expected second quarter and the raised expectations for the second half are a larger number of and more extensive orders from the automotive sector, as well as from other sectors such as the household appliance and rolling stock engineering industries. The company added that the solar industry is playing an increasingly important role.

Leoni previously projected a sales rise of about 10 percent to €2.4 billion with earnings before interest and taxes (EBIT) of at least €50 million. Following the strong first quarter, the trend in the second quarter was also “surprisingly positive”. Based on provisional calculations, the company says it generated sales of about €748 million and EBIT of around €34 million from April to June. The totals for the first half of the year therefore come to sales of around €1.4 billion and EBIT of about €57 million.