Record quarter from Palfinger
Loader crane and aerial lift manufacturer Palfinger has reported a strong second quarter and half year, bouncing back stronger than pre-Covid levels.
Total revenues for the six months to the end of June were €884.1 million, close to the company’s half year record of €893 million set in 2019. Growth was across the board, both geographically and by sector, although construction and timber industries are still the predominant markets. The marine business has booked several major orders to supply turbine cranes for British and French offshore wind farms, while in the USA its truck mounted forklift range is beginning to gain traction with one order for 150 units. Pre-tax profit for the period almost tripled to €87.5 and was close to 20 percent up on the same period in 2019.
Looking at the second quarter, revenues improved almost 42 percent to €478.2 million a new quarterly record, beating 2019 levels by more than five percent. Pre-tax profits were also significantly higher at €49.04 million compared to just €4.2 million last year and 35 percent higher than 2019 levels. Net debt was reduced to €386.1 million from €494.3 million a year ago and over €500 million two years ago.
Chief executive Andreas Klauser said: “The worldwide economic upswing following pandemic year 2020 had a significantly positive impact on the revenue and results of Palfinger in the first half. Revenue in the first six months rose by 21.1 percent and despite the cyberattack in January, EBIT increased by 137.8 percent to €92.1 million. The results of both the second quarter and first half represent new records in the history of Palfinger. The cyberattack caused a two week interruption to operations, the consequences of which were compensated for to a large extent over the past few months. Faced with rising raw material prices, we have adjusted our market prices. Demand for our products nevertheless remains high. To counter global material bottlenecks, multiple sourcing, proactive warehousing and strategic partnerships with long-term supply contracts are proving to be the best instruments.”
This a first rate set of numbers from Palfinger and possibly one of the first companies to not only bounce back strongly from 2020, but to also outstrip 2019. Given that in 2019 business was slowing towards the end of the year, it looks certain that Palfinger will post a record year in 2021. It has also substantially improved profitability that was becoming a little patchy before the pandemic hit, and with a falling debt burden in spite of substantial increases in capital investment the future looks bright for Palfinger.