January 24, 2019 / 7:53 AM / 2 months ago

Weak China, trade conflicts cloud Osram's outlook as Q1 revenue falls

* Q1 revenue falls 15 pct to 828 mln euros

* Blames weak Chinese demand, trade conflicts

* Says has low visibility for coming quarters

* Shares fall 4.3 pct in early Frankfurt trade

BERLIN, Jan 24 (Reuters) - German lighting company Osram reported a 15 percent drop in first-quarter revenue on Thursday, hurt by a weakening Chinese market and the impact of the U.S-China trade conflict, and said visibility for quarters ahead was limited.

Shares in Osram fell 4.3 percent in early Frankfurt trade at 0736 GMT.

Revenue for its fiscal first quarter came in at 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 versus 18.5 percent a year earlier.

Revenues at its Opto Semiconductors business fell 16.9 percent.

“Foremost, the ongoing trade conflicts, the weak growth in China and the general political uncertainties had a negative impact. As a result, visibility for the quarters ahead will remain significantly low,” Osram said in a statement.

Osram said management had implemented a number of countermeasures to increase revenue, as well as structural measures at its Opto Semiconductors business unit to help it achieve its guidance for the year.

But it warned achieving its guidance would hinge on a revival of orders in the coming months.

Osram was floated in 2013 by Siemens, the industrial conglomerate, which sold its last shares in the business in late 2017. Osram has been the subject of speculation that a strategic investor may buy a stake.

Osram is due to publish full financial figures for its first quarter on Feb. 7.

$1 = 0.8792 euros Reporting by Caroline Copley; Editing by Mark Potter

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