New CEO takes reins at Ramirent as results improve
By Helen Wright08 August 2016
Tapio Kolunsarka has assumed his position as president and CEO of Ramirent, as the Finnish rental company reported positive first half results.
Ramirent announced the appointment of Mr Kolunsarka in February, and he has been working alongside former president and CEO Magnus Rosén since May. Mr Rosén has now resigned from Ramirent to pursue opportunities elsewhere.
The change at the top came as Ramirent reported a 5.1% increase in revenues for the six months to the end of June, to €315 million, while the result of the period totalled €11.4 million, down 13% year-on-year.
The company’s gross capital expenditure for the first half was up 55% year-on-year to €101 million.
In his last results commentary, Mr Rosén said, “Ramirent’s second-quarter net sales grew by 8.2% at comparable exchange rates based on growth in all segments, except for Europe East.
“Second-quarter comparable EBITA increased slightly to €17.5 million (€17.2 million) or 10.3% (10.8%) of net sales. On a rolling 12 months basis return on equity improved to 12.6% (11.5%), which was above our long-term financial target of 12% per fiscal year.
“We maintain high focus on improving cost efficiency and developing our operating models to enhance profitability. Especially in Sweden, where comparable EBITA is unsatisfactory, many of these developments are taking place and EBITA started to improve towards the end of the quarter.”
He added that the company had signed important rental agreements with large Nordic construction companies in recent months.
“In Finland, we signed a multi-year partnership agreement for YIT’s Tripla construction site, which is currently one of the largest sites in the country. In Sweden, Ramirent expanded its cooperation agreement with Skanska Maskin and signed its first frame agreement ever with JM.
“In General Rental, growth in net sales was driven by improved demand especially in the Nordic construction sector. In Solutions, large construction and industrial projects continued to support sales growth especially in Sweden, Finland and Poland.
“Since this is the last quarterly report that I publish as the president and CEO of Ramirent, I would like to take this opportunity to thank all our customers, employees, shareholders, and other parties with whom I have had the pleasure to share this exciting journey. The equipment rental market provides interesting growth opportunities and possibilities for differentiation. Ramirent is well-positioned to take advantage of this development.”