Saturday, August 2, 2008

CORRECTED-(OFFICIAL)-Indesit H1 net flat, forex hits sales

(Corrects EBIT forecast range in paragraph 6 following corrected statement by company)
MILAN, July 30 (Reuters) - Italian white goods maker Indesit (IND.MI: Quote, Profile, Research) said on Wednesday first-half net profit was flat with sales hit by a strong euro, adding 2008 results could fall if markets remained weak.
Indesit, which makes appliances from refigerators to washing machines under various brands, said in a statement net profit was 34 million euros ($52.99 million).
Consolidated sales, which benefited from rising volumes, fell 1.4 percent to 1.525 billion euros, hit by an unfavourable currency rate. At constant exchange rates, they rose 2.8 percent.
"If Western markets continue to be negative in the second half, if exchange rates stay unfavourable and if certain contracts have to be revised, it is probable the Group's results will be slightly down in the second half and over the whole year," Indesit said.
For the full year, it forecasts a decrease in sales of around 3 percent while EBIT -- earnings before interest and tax -- would be down between 10 and 20 percent on last year.
At constant exchange rates, revenues are expected to grow 1 percent with "record growth" in EBIT between 20 and 30 percent.
Shares were up 1.96 percent at 6.76 euros at 1329 GMT.
(Editing by Elaine Hardcastle)

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