...EMEA Capital Goods and Diversified Industrials Handbook: In this report, Fitch Ratings focuses on the main credit factors affecting issuers in the EMEA capital-goods and diversified industrials sector. The report serves as a convenient, timely and comprehensive reference for investors in these sectors. Profitability Improves: Cost structures at most Fitch-rated capital goods and diversified industrials companies have improved in the past three years as a result of sizeable restructuring programmes. However, these efforts have been partly offset by a surge in raw-material prices, the effect of which has been to keep Fitch's earnings expectations at stable levels. Organic growth opportunities and changes in profitability forecasts still differ widely among Fitch's rated portfolio of issuers. Fitch believes that passing prices through to customers for companies with exposure to process industries, utilities, and oil and gas remains a challenge. Portfolio Realignments drive M&A: EMEA-based...
