Cargotec sales disappoint
By Ian Vallely07 November 2017
Cargotec sales were below the company’s expectations in July-September 2017, totalling €740 million, a decrease of 13 per cent over the €854 million in the same period a year earlier. The company said the sales decline came from low MacGregor delivery volumes, timing of the deliveries in Kalmar projects, as well as supply chain challenges in Hiab and Kalmar’s mobile equipment.
Service sales were €215 million and software sales decreased by 10 %, totalling €31 million. Service and software sales represented 33 per cent of the company’s consolidated sales.
Meanwhile, operating profit, excluding restructuring costs, decreased 13 % and amounted to €57.4 million, representing 7.8 per cent of sales. Operating profit was €52.7 million or 7.1 % of sales.
Around one third of sales were from service and software between January and September 2017. In this period, sales were €2,378 million, a decrease of 8 % and service sales totalled €645 million. Software sales increased to €111 million, a rise of 14 %. Service and software sales represented 32 % of consolidated sales.
Cargotec said it expected its operating profit, excluding restructuring costs for 2017, to improve from the 2016 figure of €250.2 million.