Kryukiv Wagon 1Q12 output down 7% yoy, misses own target

Kryukiv Wagon (KVBZ UK), Ukraine’s second largest railcar producer, decreased freight railcar output 7% yoy to 2,350 units in 1Q12, the company reported last Friday. The company missed its management’s target of 2,600 units from a month ago (see our news dated March 19) by 10%.

Roman Dmytrenko: The company’s 1Q12 guidance miss calls into question its ability to meet its full year production plan of 10,750 freight railcars. We expect the company will produce 10,200 units in 2012 – down 5% yoy mainly due to disruptions in bogie casting supplies in 1Q12.