
The French rail giant announced that it would not meet its margin objective, leading to a fall of more than 25% in its stock.
AI-generated summary
Alstom is facing difficulties on a Coradia Max train contract in Germany.
Alstom is in crisis again. The French rail giant launched yet another “profit warning” this Monday morning, which caused the stock to plunge by more than 25% on the stock market at the end of the morning. Contrary to what had been announced, the manufacturer will not meet its margin objective (Ebit) of + 6% in the first half of its 2026/2027 financial year (ending at the end of March). According to preliminary results, this indicator has turned red, at -4%. How can Alstom, which has already been found wanting in the past regarding the reliability of its financial outlook, find itself caught on the wrong foot again?
This poor performance is linked, explains the manufacturer, to penalties linked to a single program, the Coradia Max regional electric train, which was the subject of six contracts worth 5 billion euros, signed with Lander in Germany, between 2021 and mid-2023. The latter ordered a total of 208 trainsets made up of 850 cars. An execution problem was identified this summer during…

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Alstom shares collapsed by more than 30% on the Paris Stock Exchange following a second profit warning linked to production difficulties for Coradia Max trains.

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