At rail supplier Vossloh, business with rail fastening systems, sleepers and switches is going better than expected.

The company has therefore raised its targets for 2023. Sales are expected to reach 1.175 to 1.225 billion euros and the operating result (EBIT) 94 to 100 million euros, as announced on Thursday. Previously, Vossloh had targeted sales of €1.125 to €1.2 billion and EBIT of €87 to €94 million. According to initial calculations, the Group achieved a jump in sales of 22 percent to €926 million in the first nine months, with EBIT rising by as much as 40 percent to €76.9 million. Meanwhile, incoming orders shrank to 945.5 million euros compared to 962 million euros in the previous year.

The more optimistic outlook for the current year has also prompted investors to buy in. The SDax-listed Vossloh shares climbed by up to four percent to €38.75, making them one of the biggest winners in the small-cap segment.

(Report by Anneli Palmen and Daniela Pegna, edited by Sabine Wollrab. If you have any questions, please contact our editorial team at berlin.newsroom@thomsonreuters.com (for politics and the economy) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).