Cramo grows Q1 revenues and appoints Theisen boss

Cramo's sales grew by 42.2% to €144.2 million in the first quarter of the year, including a €10.6 million contribution from the newly acquired Theisen business in Germany, which was added to the results from 1 February. Strip out Theisen and the growth was 32%.

It also announced that Dirk Schlitzkus, a 17-year Theisen veteran, has been appointed senior vice president, Central Europe and managing director of Theisen Baumaschinen in Germany.

The company made a net loss of €5.9 million in the quarter, including a €2 million non-recurring charge relating to Theisen acquisition costs. Losses in the same quarter in 2010 were €7.4 million.

Sales increased in all businesses and were particularly strong in Finland, Sweden and Eastern Europe. Theisen Group is now reported as a new business segment, Central Europe, covering Germany, Austria, Switzerland and Hungary.

Cramo's business in Denmark and Eastern Europe both made losses. Denmark's construction sector continues to be slugging - and the winter was very severe, impacting on levels of activity.

In Eastern Europe - Estonia, Latvia, Lithuania, Poland, the Czech Republic, Slovakia and Russia - sales increased almost 43% and EBITA losses were more than halved to €2.2 million. Cramo said the growth in construction seen in the last quarter in 2010 continued in most Eastern European markets.

Vesa Koivula, president and chief executive officer of Cramo Group, said the demand for rental had further improved in all its markets; "Prices have also started to recover from the low downturn levels...Taken together, the recovery in the equipment rental market, the streamlining measures we implemented during the downturn and our stronger market position provide a solid starting point for the favourable development of our business."

Meanwhile, Cramo announced that Dirk Schlitzkus has been appointed senior vice president, Central Europe and managing director of Theisen Baumaschinen. Mr Schlitzkus, who joined Theisen in 1994 as a consultant lawyer, has been a director of Theisen since 1998 and he was one of the driving forces behind Theisen's expansion.

"Mr Schlitzkus has built a successful track record in several different areas. He is well respected in the entire Theisen Group and well prepared to take over the responsibility of the further development of the company", said Vesa Koivula.