(Reuters) – BIC fell sharply on the stock market on Thursday after the manufacturer of stationery and lighters revised downwards its forecasts for annual turnover growth, in a context of strengthening competition in the American market.
BIC said Wednesday evening that it now expects “low single-digit” growth in its turnover in 2024, at constant exchange rates and excluding Argentina, compared to an initial forecast of growth of between 5% and 7%.
On the Paris Stock Exchange, around 09:40 GMT, BIC shares lost 9.2% to 57 euros, the bottom of the SBF 120 which rose by 0.61% at the same time.
Eric Rossi, analyst at Bryan Garnier, notes in a note that fiercer competition from BIC’s Asian rivals has weighed down the group’s performance in the United States, where he notes volumes down 6%.
“Management initially expected the American lighter market to stabilize in the second quarter,” says Eric Rossi, who adds that consumer trends in the United States have continued to deteriorate.
Bryan Garnier now forecasts a decline of 4% at constant exchange rates in BIC’s lighter business, compared to a stable figure previously.
The analyst also points out that BIC’s maintenance of its adjusted operating margin forecasts is a positive, although surprising, sign.
(Written by Dagmarah Mackos with Nathan Vifflin, edited by Augustin Turpin)
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