Hiab sees sales and profits growth in H1

The newly-published interim report from Cargotec shows Hiab's orders grew 13% to €479m for January-June, while sales rose 4% to €429m and operating profits increased to €18.7m from €7.9m a year ago.

Recent Hiab orders include a €40m contract in May to supply demountables and loader cranes to Rheinmetall MAN Military Vehicles GmbH and a €6m order in June for hooklifts, loader cranes and demountables
from the Finnish Defences Forces.

Hiab's second quarter sales were at the same level as a year ago - €221m, while sales for services were down €2m to €49m. The second quarter operating profit of €5.3m was slightly down on a year ago but was affected by €10.4m in restructuring costs related to the closure of assembly operations in Hudiksvall, Sweden.

Group-wide, Cargotec recorded a 14% growth in orders to €1.85bn for the first half of 2014. Sales were up 3% to €1.55bn but operating profit was down 61% to €17.8m, due partially to project cost overruns in the Kalmar business.

Mika Vehviläinen, Cargotec president and CEO, said: "Market activity remained brisk, with our orders for the second quarter growing in all business areas. Both Kalmar and Hiab had strong order intake compared to the previous quarters."

Hiab's new product development included two new load cranes for emerging markets and a new crane specifically designed for waste handling.