European growth in Q1 for Palfinger
13 May 2014Palfinger said European business segments had driven growth in revenue of 18.5% year on year. The reason behind this, Palfinger said, was down to good capacity utilisation in Europe and the successful continuation of restructuring projects.
In the first quarter of 2014, Palfinger achieved a record revenue of €267.6m compared to €225.8m recorded in the first quarter of 2013. All business units contributed to this record figure. While strong demand in Europe pushed up revenue by more than 25% in the European units segment, only small increases were recorded in the area units segment. The manufacturer explained that this was because of the long and harsh winter in North America as well as changes in the foreign currency exchange rates of the Brazilian Real and the Russian Rouble. The development of order levels in North America has been sending positive signals.
Palfinger explained that its performance over the individual quarters since 2012 showed a long-term increase of revenue and EBIT, with seasonal fluctuations. All in all, the firms business in Europe had been positive in the first quarter of 2014. Sales had increased especially in Germany, Belgium, Switzerland and Sweden; Great Britain and Ireland continue to show an upward trend. What was of particular significance was that Southern Europe also showed satisfactory development as compared to previous quarters. Austria, France and Norway recorded declines, whereas the Marine business area grew as expected.
Revenue in North America was kept at the level of the first quarter of 2013, even though, due to the harsh winter, the loader cranes and access platforms business units recorded significant losses in terms of deliveries and also earnings. In South America, sales were stepped up and growth was recorded in local currency, but the negative currency effect has led to a slight decrease when denominated in Euros. Despite the same effect, a slight increase in revenue was achieved in Russia, but the outlook for this region is extremely uncertain due to the crisis in Ukraine. Business performance in Asia, including China, was marked by a clear upward trend in the reporting period; revenue almost doubled in this region.
Acquisitions carried out in the past twelve months contributed revenue of €13.1m.
