Cargotec sales up 12%
By Laura Hatton31 October 2014
Sales were up 12 % at crane and material handling systems manufacturer Cargotec for the most recent quarter and up 6 % overall for the year to date (January to September 2014).
From July to September orders received increased even more, by 15 %, to €829 million (US$ 103.5 million). At the end of the period, the order book stood at €2.3 billion ($ 2.8 billion), with sales up 12 % to €840 million ($105 million). Operating profit, excluding restructuring costs, was €48.4 million ($60.4 million) and net income for the period amounted to €27.8 million ($34.7 million).
January to September orders increased 14 % and totalled €2.6 billion ($3.2 billion). Sales grew 6 % to €2.3 billion ($ 2.8 billion). Operating profit excluding restructuring costs was €77.8 million ($97.2 million) and net income for the period amounted to €31.4 million ($39.2 million).
Cargotec's 2014 sales are expected to grow from 2013. Operating profit excluding restructuring costs for 2014 is expected to improve from 2013.
Mika Vehviläinen, Cargotec president and CEO, said “Our profit improvement programme progressed as planned in Hiab and Kalmar during the third quarter, and its effects are already being seen in both businesses' operating profit figures. We are continuing our determined efforts to complete this programme. Hiab and Kalmar's market environment remained unchanged, however, uncertainty has increased. Third-quarter orders for both business areas were in line with the comparison period.
“Uncertainty increased in MacGregor's market during the autumn. In order to safeguard improved profitability in such a market, we have decided to launch measures in several areas, such as sales, services and procurement, and have established a more customer-oriented organisation. The development of this business area will require the same determined efforts that are already bearing fruit at Hiab and Kalmar.”