Germany: Demag Cranes Publishes Q2 Financial Results

Demag Cranes reported continued growth in the second quarter of financial year 2011/2012. Year on year, the Group was able to increase its key reporting indicators comprising Group order intake, Group revenue and operating EBIT.

 Group order intake up 11.0% on prior-year period

The Demag Cranes Group generated order intake of EUR 308.4 million in the second quarter of financial year 2011/2012 (second quarter of 2010/2011: EUR 277.9 million). This represents growth of 11.0%. The Port Technology segment contributed substantially to the growth in order intake. Group order intake in the first half of financial year 2011/2012 came to EUR 598.7 million. This represents growth of 6.6% on the first half of financial year 2010/2011 (EUR 561.9 million). The Group order book totalled EUR 414.3 million at 31 March 2012, up 9.5% on 31 March 2011 (EUR 378.4 million).

 Group revenue 10.8% higher than prior-year quarter

The second quarter of financial year 2011/2012 saw the Demag Cranes Group generate revenue of EUR 282.1 million – an increase of 10.8% on the previous year’s quarter (second quarter of 2010/2011: EUR 254.6 million). Revenue in the first half of 2011/2012 was EUR 552.0 million, up 13.6% on the first half of 2010/2011 (EUR 485.8 million).

 Group operating EBIT grows 38.6% relative to prior-year figure

At Group level, Demag Cranes generated operating EBIT of EUR 20.2 million in the second quarter of financial year 2011/2012. This represents an increase of 38.6% on the figure for the previous year’s quarter (EUR 14.6 million). On a half-year basis, Group operating EBIT came to EUR 34.3 million, compared with EUR 27.1 million in the first half of 2010/2011. This represents growth of 26.6%.

 Outlook: reliable projections still made difficult by uncertain economic trend

The global economic trend remains subject to considerable risks, in particular as a result of the uncertainties surrounding the debt crisis in several European countries, most notably Greece, Italy, Ireland, Portugal and Spain. Future global economic growth will continue to be driven by emerging markets especially, although these, too, seem to have lost some of their economic resilience.

The uncertainties outlined make it increasingly difficult to give reliable long-term projections for ongoing economic trends and the associated demand for the products of Demag Cranes. Despite this unpredictability, the Management Board still anticipates Group revenue of around EUR 1.1 billion for the current financial year continued improvement in the operating EBIT margin compared with the previous year.

[mappress]

Offshore WIND staff, May 08, 2012; Image: demagcranes-ag