Cargotec's January-June 2014 Interim Report

By Joseph R. Fonseca
Saturday, July 19, 2014

Cargotec's January-June 2014 interim report show that orders grew but operating profit was burdened by project cost overruns in Kalmar

April-June 2014 in brief

Orders received increased 19 percent and totalled EUR 993 (833) million. Order book amounted to EUR 2,285 (31 Dec 2013: 1,980) million at the end of the period.Sales declined 4 percent to EUR 804 (836) million.Operating profit excluding restructuring costs was EUR 4.7 (37.5) million, representing 0.6 (4.5) percent of sales, including EUR 39 (10) million in project cost overruns in Kalmar.Operating profit was EUR -6.0 (32.9) million, representing -0.7 (3.9) percent of sales.
 

Cash flow from operations before financial items and taxes totalled EUR 24.4 (-12.4) million.
Net income for the period amounted to EUR -9.3 (21.9) million.Earnings per share was EUR -0.15 (0.36).
 
January-June 2013 in brief

Orders received increased 14 percent and totalled EUR 1,856 (1,624) million.Sales grew 3 percent to EUR 1,555 (1,515) million.Operating profit excluding restructuring costs was EUR 29.3 (52.5) million, representing 1.9 (3.5) percent of sales.Operating profit was EUR 17.8 (46.1) million, representing 1.1 (3.0) percent of sales.Cash flow from operations before financial items and taxes totalled EUR 56.9 (8.8) million.Net income for the period amounted to EUR 3.6 (28.4) million.
 

Earnings per share was EUR 0.05 (0.46).
 
Cargotec's 2014 sales are expected to grow from 2013. Operating profit excluding restructuring costs for 2014 is expected to improve from 2013.

Cargotec's President and CEO Mika Vehviläinen 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. In MacGregor, recent acquisitions supported the growth in orders compared to the comparison period. Due to a previously announced cost overrun in Kalmar projects, operating profit for the second quarter was unsatisfactory. As expected, MacGregor and Hiab saw positive profit development.

"The EUR 40 million profit improvement programme currently being implemented in both Kalmar and Hiab is proceeding as planned, and is actually ahead of schedule in Hiab. Unfortunately, due to project cost overruns, the effects of the programme are yet to make a visible impact on Kalmar's operating profit. We are continuing our determined efforts to see this programme through.

"We have decided to reverse earlier plans to separately list MacGregor business. We focus on  delivering profitable growth within the new MacGregor as part of the overall Cargotec portfolio."

Maritime Reporter January 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Kirby Reports Record Earnings

Kirby Corporation announced record net earnings of $68.1 million, or $1.19 per share, for the fourth quarter 2014 (ended December 31). The results bested 2013’s fourth quarter figures of $64.

Baltic Sea Freight Index Falls to Lowest Level Since 1986

The Baltic Exchange's main sea freight index, which tracks rates for ships carrying dry bulk commodities, spiralled downwards to its lowest level in nearly three

Bill Proposed to Repay WWII Merchant Mariners

Congresswoman Janice Hahn (Calif.) and Congressman John Duncan Jr. (Tenn.) introduced the “Honoring Our WWII Merchant Mariners Act of 2015,” which would provide

News

Kirby Reports Record Earnings

Kirby Corporation announced record net earnings of $68.1 million, or $1.19 per share, for the fourth quarter 2014 (ended December 31). The results bested 2013’s fourth quarter figures of $64.

IntelliJet: Cleantech Propulsion for High Speed Applicatios

IntelliJet Marine, Inc. will present a paper on propulsion and computer simulation for sustainable high speed boats and ships at ASNE Day 2015.   Jeff Jordan

Australia Bolsters SAR in Indian Ocean Region

AMSA leading program to strengthen search and rescue capabilities in Indian Ocean region   The Australian Maritime Safety Authority (AMSA) said it has commenced

Logistics

Stolt-Nielsen Q4 Profit Misses Forecast

Shipping firm Stolt-Nielsen reported fourth quarter earnings below forecasts on Thursday and said it was concerned about the outlook for the chemical tanker market,

China Watching Greece After Port Sale Shelved

China is closely monitoring the policies of the new Greek government after Athens said this week it will stop the sale of a majority stake in Greece's biggest port,

Shell Eyes Arctic Drilling this Summer

Oil major Shell wants to revive its Arctic oil drilling programme this year after a near two-year suspension, angering environmentalists who say the risk of an oil spill is too high.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Naval Architecture Offshore Oil Pipelines Pod Propulsion Ship Electronics Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2036 sec (5 req/sec)