Drop in orders sees Alstom shares plunge

Low demand for the company’s thermal power plant technology has seen Alstom miss its full-year profit target.

The company's shares plunged 14 per cent after the announcement.

The firm said orders fell 12 per cent in the first nine months of its financial year and the lack of uptake for Alstom’s (Euronext: ALO) new thermal power plants means it would spend more cash than initially forecast.

Patrick Kron
Orders for Alstom's thermal power turbines fell 4 per cent to $2.1bn in the three months to the end of December. It said demand for new plants had slowed in emerging markets, and remained "subdued" in mature markets.

"In this difficult environment, our focus remains on the implementation and acceleration of the ambitious cost savings initiatives which have been launched," said chairman and chief executive Patrick Kron.

For more power business news



Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...