April-June 2016 in brief
  • Orders received decreased 7 percent and totalled EUR 825 (887) million.
  • Order book amounted to EUR 2,033 (31 Dec 2015: 2,064) million at the end of the period.
  • Sales declined 4 percent and totalled EUR 898 (936) million.
  • Operating profit excluding restructuring costs increased 12 percent and was EUR 64.8 (58.0) million, representing 7.2 (6.2) percent of sales.
  • Operating profit was EUR 62.6 (54.9) million, representing 7.0 (5.9) percent of sales.
  • Cash flow from operations before financial items and taxes totalled EUR 55.8 (101.3) million.
  • Net income for the period amounted to EUR 40.4 (27.4) million.
  • Earnings per share was EUR 0.63 (0.43).
January-June 2016 in brief
  • Orders received decreased 5 percent and totalled EUR 1,728 (1,826) million.
  • Sales declined 5 percent and totalled EUR 1,727 (1,825) million.
  • Operating profit excluding restructuring costs increased 12 percent and was EUR 123.3 (110.3) million, representing 7.1 (6.0) percent of sales.
  • Operating profit was EUR 120.2 (106.2) million, representing 7.0 (5.8) percent of sales.
  • Cash flow from operations before financial items and taxes totalled EUR 146.6 (152.8) million.
  • Net income for the period amounted to EUR 79.6 (63.9) million.
  • Earnings per share was EUR 1.23 (0.99).
  • Outlook for 2016 unchanged
Cargotec’s 2016 sales are expected to be at the 2015 level (EUR 3,729 million) or slightly below. Operating profit excluding restructuring costs for 2016 is expected to improve from 2015 (EUR 230.7 million). Cargotec’s key figures MEUR 4-6/2016 4-6/2015 Change 1-6/2016 1-6/2015 Change 2015 Orders received 825 887 -7% 1,728 1,826 -5% 3,557 Order book, end of period 2,033 2,342 -13% 2,033 2,342 -13% 2,064 Sales 898 936 -4% 1,727 1,825 -5% 3,729 Operating profit* 64.8 58.0 12% 123.3 110.3 12% 230.7 Operating profit, %* 7.2 6.2 7.1 6.0 6.2 Operating profit 62.6 54.9 14% 120.2 106.2 13% 213.1 Operating profit, % 7.0 5.9 7.0 5.8 5.7 Income before taxes 57.5 46.3 108.3 93.8 186.2 Cash flow from operations 55.8 101.3 146.6 152.8 314.6 Net income for the period 40.4 27.4 79.6 63.9 142.9 Earnings per share, EUR 0.63 0.43 1.23 0.99 2.21 Net debt, end of period 619 735 619 735 622 Gearing, % 45.5 56.9 45.5 56.9 46.4 Personnel, end of period 11,422 10,730 11,422 10,730 10,837 *excluding restructuring costs Cargotec’s CEO Mika Vehviläinen: Our business developed favourably during the second quarter. Orders for Kalmar decreased slightly from the comparison period’s level, while Hiab’s order intake grew eight percent from the comparison period. It was pleasing to see service orders increase 12 percent compared to the comparison period. Profitability continued to improve in Kalmar and Hiab compared to the previous year. On the other hand, the market situation in MacGregor remained challenging. At MacGregor we have already begun implementing new measures to lower our cost level through actions taken primarily in Norway as well as by merging two divisions. The execution of our strategy published at the end of 2015 is proceeding in all three focus areas: services, digitalisation and leadership development. Business areas have continued their service development efforts during the quarter, and we have increased resources for digitalisation initiatives. For example, we launched the first products based on our common Cargotec IoT Cloud, a shared connectivity and analytics platform for all our businesses, through which we can provide more efficient analytics to our customers based on equipment data. The INTERSCHALT integration is proceeding as planned and we are getting positive customer feedback about the combined offering of XVELA’s maritime industry software and the INTERSCHALT software. Our internal leadership development programme was launched during the last quarter and has gone forward according to plans. Alternative performance measures (APMs) used in Cargotec’s finan nel reporting new ESMA (European Securities and Markets Authority) guidelines on Alternative Performance Measures (A PM) = financial measure other than financial measure defined or specified in IFRSs) are effective as of 3 July 2016. The new guidelines have had no impact on performance measures used by Cargotec, but in accordance with the guidelines, Cargotec publishes the explanation of use, definitions as well as reconciliations of its APMs to IFRS financial statements. APMs are used at Cargotec to better convey the underlying business performance and to enhance comparability from period to period. APMs are not substituting the performance measures stipulated by IFRS, but are instead reported as complementary information. The alternative performance measures used by Cargotec are: Operating profit excluding restructuring costs= Operating profit + restructuring costs Operating profit excluding restructuring costs, % of sales = (Operating profit + restructuring costs) / Sales * 100 Interest-bearing net-debt = Interest-bearing debt - interest-bearing assets +/- Foreign-currency hedge of corporate bonds Restructuring costs include restructuring provisions, asset impairments and disposals, expenses for vacant premises and other restructuring-related expenses in case of a significant restructuring programme of Cargotec or its business area. In the interim report, the reconciliation of operating profit excluding restructuring costs to operating profit of the statement of income is presented in note 3. Reconciliation of interest-bearing net debt to interest-bearing liabilities and assets is presented in note 6.