MTU Aero raises forecasts

MTU Aero Engines Holding AG, the German company helping develop engines for China's planned C919 airliner, raised full-year earnings and sales forecasts after beating analysts' first-half revenue estimates.

MTU now expects adjusted operating profit this year of 370 million euros ($446 million) and sales of 3.3 billion euros, the Munich-based company said on Wednesday. That would amount to a 13 percent increase in earnings, compared with MTU's earlier forecast of 8 percent to 10 percent growth, and a 12 percent gain in sales, versus a "mid single-digit" percentage prediction.

Commercial-plane engines and maintenance revenue "can be expected to increase as predicted", while military sales will rise "slightly" instead of remaining unchanged, Chief Financial Officer Reiner Winkler said.

China Daily-Agencies