03.09.2013

Haulotte swings back into profit

Haulotte has unveiled is first half results with a jump back into profit on marginally higher revenues

Total revenues for the period were €187.2 million, just 1.5 percent higher than in the same period last year, however new equipment sales did slightly better – up 2.1 percent to €149.5 million, while rental revenues fell 3.6 percent to €21.3 million and revenues for services edged up 1.9 percent to €16.3 million. Net profit for the period was €11.9 million, compared to a loss last year of €3.7 million. All but €1.3 million came for a €10.6 million gain on the sale of UK platforms to HSS just before the end of the accounting period.

The improved revenues are put down to gains in North and South America, with a 62 percent jump in South America. It expects revenues for the full year to come in at between five and 10 percent above 2012.

Net debt has been cut in half since the end of 2012 to € 51.8 million, possibly related to the sale of UK Platforms, and the company says that it is fully compliant with all commitments in respect of its syndicated bank loan agreement.

Vertikal Comment

Good timing has allowed Haulotte to benefit from the full revenue and profits from its UK rental business for the period, as well as the capital gain from selling it. In spite of this it is also clear that its underlying business continues to climb out of the recession, without any help from Southern European markets where it is traditionally very strong.

With these areas finally showing signs of beginning to turn, Haulotte should continue to gain strength as it moves into 2014, although it has a fair amount of work to do in terms of brand building and sales etc… in order to catch up with the North Americans which already have a year or two of positive numbers under their belt.

The company will also be keeping an eye on what happens with Snorkel, in the hope that its current production dip and impending sale will turn customers in its direction.

However with Snorkel distributors getting restless, others will be also be looking to gain from the current uncertainty at Snorkel, which may not be to Haulotte’s advantage. However the positive thing is that another major manufacturer is back into profit and facing a more optimistic outlook.