Milan, Nov 17 - Italian dairy group Parmalat posted a sharp rise in nine-month net profits on Friday thanks to legal settlements, but it cut its 2008 outlook for core profit, blaming a weaker global economy.
Net profit rose to 638 million euros ($809 million) from 276.3 million in the same period a year earlier, Parmalat, Italy's biggest listed food group, said in a statement.
The rise was "made possible primarily by the settlements" stemming from the company's collapse in 2003, it said.
Core profit, or earnings before interest, tax, depreciation and amortisation (EBITDA) fell to 219.9 million euros from 254.1 million, it said.
For the full year, the company sees core profit of between 310 million euros and 315 million euros, net of currency effects, down from 350 million euros it had forecast in July.
"Conditions in the global economy have had a negative impact on the group's 2008 performance projections," it said.
Full-year sales are seen rising 7.5 percent from 2007, including the impact of currencies, it said. In July, Parmalat forecast a sales rise of 3 percent.
Nomura analysts this week had expected a cut in full-year EBITDA guidance to 338 million euros.
Parmalat shares closed down 0.46 percent at 1.284 euros.
Parmalat buckled under 14 billion euros of debt in 2003 after a financial scandal left a 4 billion euro hole in its accounts. It was restructured and relisted on the Milan bourse in 2005.
Chief Executive Enrico Bondi, hired to restructure the group, has filed a number of lawsuits against former bankers and auditors.
Last month a U.S. jury rejected the company's claims for damages from Citigroup over its collapse.