Heavy Duty Gas Turbines News

Did Gas Turbine Problems Contribute to Alstom's Profit Decline?

Markets will be keen for signs that French energy and transport company Alstom has improved margins and resolved problems with its heavy duty gas turbines when it reports full-year results on Tuesday. According to consensus estimates provided by the JCF Group, the company is expected to post net profits of $203.4 million for its 2000/01 fiscal year - a substantial decline from the $306 million registered last year. That decline will stem from exceptional charges for the gas turbine problems and a drop in exceptional gains from asset sales. Comparisons will be further complicated because Alstom will be consolidating 100 percent of the former ABB Alstom Power equipment business for the final three quarters of the year.