The German press manufacturer said that "due to the persisting difficult underlying conditions" full-year sales would be below the already "very low level" of the previous 2008/09 financial year.

Heidelberg added that while its cost-cutting programme would help lower the break-even point as quickly as possible, this would be counteracted by the sharp rise in refinancing costs, resulting in the anticipated negative result.

Net sales for the first quarter fell 21.8% to €514m, while incoming orders were down 52.2% on last year at €550m. Similarly, the company's order backlog fell 52.5% to €616m.

"Incoming orders stabilised slightly in the first quarter compared with recent months, providing an initial indication that the downturn is levelling out. However, we still need to wait and see how things develop," said Bernhard Schreier, chief executive of Heidelberg.

The company's operating result, excluding exceptional items, was a €63m loss, while its net result was a €69m loss.