Shares in Carl Zeiss Meditec AG fell Wednesday after the company tempered its profit margin expectations for fiscal 2023 following an earnings decline in the second quarter.
At 0936 GMT, Carl Zeiss shares traded 7% lower at EUR115.15.
The German medical-technology company lowered its guidance range for the earnings before interest and taxes margin in the fiscal year ending in September to 17%-20% from 19%-21% previously, citing lower earnings because of a weak product mix from pandemic-related effects. Higher costs and wage expenses contributed as well, the company said.
The company expects fiscal 2023 revenue to be around 2.1 billion euros ($2.30 billion), confirming its previous target of growth at least in line with its underlying markets.
In the fiscal year’s second quarter, Carl Zeiss Meditec’s EBIT fell to EUR83.6 million from EUR103 million last year.
Revenue rose to EUR504.2 million from EUR445.2 million, but order intake for devices is trending down from the prior year’s peak because of supply-chain problems, Carl Zeiss Meditec said.
The full first-half earnings report will be published May 9.