Scitexs third-quarter results will include a 24.4m ($35m) charge reflecting its share of write-downs announced last week by Creo Products (PrintWeek, 19 October).

The company owns a 27% stake in Creo Products, and is expected to announce a third-quarter net loss of 27m-28m, including the charge. On this basis, pro forma net profits are expected to be around 1.4m-2.1m.

CreoScitex chief executive Yeoshua Agassi said: "In spite of difficult market conditions, both Scitex Digital Printing and Scitex Vision continued to demonstrate year on year revenue growth."

He added that the group would be staying focused on its digital printing operations.

Last week Creo announced write-downs of 263m and said it expected a loss of between 3.5m and 7m due to the slowdown of the worldwide economy.

Scitexs third-quarter results will be announced at the close of market on 6 November.

The profits warning has already had a knock-on effect, with Discount Investments, which owns 22% of Scitex, expecting a record 6.2m ($9m) loss. Clal Industries, which also owns 22% of Scitex, said it would record a 6.2m loss in its third quarter.

Story by Fay Schopen