11.11.2014

Record results continue at Wacker Neuson

Wacker Neuson, the Austrian telehandler and light equipment manufacturer has reported record revenues and a strong boost in profitability for the first nine months of 2014.

Total revenues for the nine months were €936.2 million, nine percent higher than last year, thanks to strong performances from both Europe and North America, while pre-tax profits jumped 61 percent to €99 million. As a result of the company’s growing sales in the North America it is now planning to establish its first manufacturing plant in the region, building skid steer loaders in Wisconsin.

Moving on to the third quarter the sales growth trend gathered pace rising 14.4 percent to €316.2 million. Pre-tax profits for the period leapt 57.3 percent to €38.7 million. European sales increased 14 percent, while North America and Asia were up 16 percent.
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Cem Peksaglam

Chief executive Cem Peksaglam said: “The fact that we have been able to deliver such strong results in this uncertain and volatile climate is down to our unwavering commitment to our growth strategy. Here we are focusing not only on diversifying our target markets but also on extending our international reach. Numerous new product launches in 2014 also contributed to the group’s sustained market success. Our strict cost control measures and ongoing efforts to improve and streamline processes across all lines of business also bolstered our earnings performance.”

“The US construction industry is clearly picking up. Demand is also rising among industrial firms and the energy sector in North America. This had a positive impact on the light equipment segment during the third quarter, with revenue generated from equipment such as generators, heaters, light towers and compaction equipment growing 12 percent relative to the prior-year period. This positive trend is set to continue in North America. Markets in South America, however, are likely to remain weak.”

“The Americas currently accounts for 24 percent of group revenue, we plan to relocate the production of skid steer loaders from the Austrian town of Hörsching to a site in Menomonee Falls, near Milwaukee, Wisconsin. In future, we will be developing and producing skid steer loaders in North America as this is the market in which we have identified the greatest sales potential. The move aligns perfectly with our strategic principle of manufacturing products ‘in the region for the region’. The relocation will not result in any layoffs in Hörsching, as we will be redeploying personnel and free capacity at the site to other products.”