June 14, 2017 / 9:56 PM / 5 months ago

Zodiac Aerospace reaffirms targets on eve of Safran vote

PARIS (Reuters) - Zodiac Aerospace (ZODC.PA) published quarterly revenues in line with expectations on Wednesday, easing recent doubts over its financial performance as shareholders in engine maker Safran (SAF.PA) prepare to vote on plans for a tie-up on Thursday.

FILE PHOTO: The logo of French aircraft seats and equipment manufacturer Zodiac Aerospace is seen during the company's first half of the 2015/2016 fiscal year presentation in Paris, France, April 20, 2016. REUTERS/Benoit Tessier/File Photo

The Paris-based supplier of aircraft seats, toilets and galleys, whose most recent profit warnings had prompted Safran to lower its $9 billion offer by 15 percent in May, reaffirmed its financial targets for the year to end-August.

Sales for the first nine months fell 1.4 percent to 3.39 billion euros, and fell 2.8 percent after on an underlying basis after stripping out one-off factors.

Zodiac said in a statement that efforts to resolve problems in a UK plant that had disrupted the supply of business-class seats for the Airbus A350 were now going according to plan.

“Zodiac Aerospace is progressing in line with its recovery scenario,” the company said.

Plans to create the world’s third-largest aerospace supplier through a takeover of Zodiac by Safran are going forward according to a revised timetable announced on May 23, it added.

For 2017/17, Zodiac is forecasting an 200-220 million euro operating profit and stable revenues.

Reporting by Cyril Altmeyer, Tim Hepher

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