04.02.2014

Flat revenues at Hiab

Hiab has reported 2013 full year sales at similar levels to 2012, while profits tumbled due to restructuring costs

Total revenues for the year were €841 million, a million up on the year before, however order intake improved two percent to €869 million, thanks
to a strong fourth quarter, with two large crane orders.

The company posted an operating profit of just €400,000, compared to €16.7 million last year due to costs of restructuring, without these the profits would have been €24.4 million compared to €27.1 million in 2012.

Moving on to the fourth quarter, revenues slipped three percent to €229 million, but order intake jumped 19 percent, thanks to a 200 unit order from cranes in France and 70 units from the UK. The effect of restructuring had a major impact on profits though, with last year’s loss of €1.5 million turning into a loss of €13.1 million. Without the costs profits would still have more than halved to €3.9 million.

Looking at other parts of Cargotec, Kalmar, the port handling division posted a four percent rise in revenues to €1.55 billion, while operating income increased from €32.4 to €56.9 million. Order intake for the year fell nine percent to €1.43 billion, but jumped 14 percent in the final quarter.

Overall results at Hiab parent Cargotec, which also owns MacGregor marine cranes, saw revenues of €3.2 billion, down four percent on 2012. Pre-tax profits fell 36 percent to €78.7 million.

The company says it expects sales in 2014 to grow and operating profit excluding restructuring costs to improve.

Chief executive Mika Vehviläinen said: “Despite our many achievements, 2013 was financially disappointing. However, it was pleasing during the fourth quarter to see the amount of orders received increase, while cash flow continued to strengthen from the third quarter.”

“MacGregor's growth strategy progressed significantly during the fourth quarter. Announced in July, the acquisition of Hatlapa was completed in October. Then we also announced our intention to acquire the Aker Solutions' mooring and loading systems unit. These acquisitions will position MacGregor as a leading player in the offshore equipment market.”

“Our main target is to improve our profitability. During 2013, a great deal of work was done in developing our strengths. Although much remains to be done, I expect our efforts to bear fruit this year and also to be reflected in the results.”