Cargotec demand at low level

Figures for the first half of 2009 at Cargotec show that demand for the Hiab, Kalmar and MacGregor lines of cranes remained at a low level.

Cargotec group sales were down 17% at Euro 1.35 billion (US$ 1.89 billion) from Euro 1.63 billion ($2.3 billion) in the first half of 2008. Hiab accounted for Euro 268 million ($375 million), Kalmar Euro 411 million ($575 million) and MacGregor was Euro 251 million ($351 million). Only deliveries of marine cargo handling equipment grew from the previous year.

The total Cargotec order book was Euro 2.56 billion ($3.6 billion) on 30 June. Of that Hiab was Euro 138 million ($193 million), Kalmar Euro 514 million ($720 million) and MacGregor Euro 1.90 billion ($2.7 billion).

Mikael Mäkinen, Cargotec president and CEO, said, "The whole first half of 2009 has been an extremely challenging time in cargo handling, and has required heavy restructuring of our operations. Our global supply footprint will change significantly during this year. Additionally, we aim for a clearly better and more efficient operating model in our sales and services network. The strong cash flow during the first half is an excellent achievement in this market situation."

Due to the weak market situation, demand for Cargotec products is expected to continue lower than 2008, the decline being milder in services. Despite expected growth in marine cargo handling business Cargotec 2009 sales are forecast to decline around 25% from the previous year's level.