Company News

Finnish steelmaker Outokumpu to cut 1,000 jobs after core profit halves

HELSINKI, Nov 5 (Reuters) - Finnish stainless steel manufacturer Outokumpu’s third-quarter core operating profit halved, it said on Thursday, prompting the company to scrap its dividend and announce plans to axe 1,000 jobs.

Third-quarter adjusted earnings before interest, tax, depreciation and amortisation fell to 22 million euros ($25.95 million) from 45 million euros a year earlier, slightly above the 20.4 million euros expected by analysts in a company provided poll.

The company, which had warned in September of a difficult third quarter and job cuts, announced a new strategy to de-risk the business through margin improvement, cash flow management and deleveraging the balance sheet. ($1 = 0.8479 euros) (Reporting by Anne Kauranen Editing by David Goodman )