Draegerwerk cuts 2015 profit margin forecast, intensifies savings drive

FRANKFURT (Reuters) - Draegerwerk slashed its 2015 profit margin forecast for the second time this year and said it would intensify savings efforts, citing weak business in China and the United States as well as writedowns during the third quarter. The German supplier of medical equipment and safety gear for miners and firefighters said it now expects its full-year earnings before interest and tax (EBIT) margin to stand at between 2.5 and 4.5 percent, down from its previous guidance of 5 to 7 percent. The company posted a loss before interest and tax of about 23 million euros ($26.2 million) in the third quarter, burdened by about 20 million euros in writedowns on receivables and inventories as well as provisions for quality costs. Draegerwerk said it would review its medium-term forecasts and look for additional cost cuts. (Reporting by Christoph Steitz; Editing by Pravin Char)