23.01.2004

Record revenue high for Palfinger

Austrian knuckle-boom crane producer Palfinger has reported record revenue levels with the announcement of its preliminary 2003 earnings.

Despite what Palfinger says were “difficult economic conditions’ during 2003, the company has reported a 9 per cent increase in revenues for the period amounting to €334 million (UK£230.4 million), compared with €306.5 million (£211.28 million) in 2002. The jump in revenues for the 2003 period, however, follows a significant drop in the company’s sales during 2002 from a figure of €332.1 million (£228.93 million) reported in 2001.

Also showing an increase in 2003 was Palfinger’s EBITDA at €37.8 million (£26.06) – a 6.8 per cent increase from €354 million (£24.40 million) reported for the 2002 period. As with revenues, EBITDA suffered a sharp decline during the previous year from a figure of €52.1 million (£35.91 million) reported in 2001.

Following a similar pattern, a drop in Palfinger’s EBIT from €38.1 million (£26.26 million) to €23.4 million (£16.13 million) for the 2001/2002 period, was offset in 2003 by a 10 per cent jump compared with 2002 to a reported figure of €25.7 million (£17.72 million). The EBIT margin also increased slightly by 1 per cent on 2002’s figure to 7.7 per cent in 2003, but falls in the wake of a 3.9 per cent drop from 11.5 per cent during 2001/2002.

Palfinger said that the main factors influencing 2003’s earning were good results from its Epsilon crane division and the positive effects of its Rapid Process (RAP) programme in its knuckle boom crane division, which was updated at the beginning of 2003 to include a fixed delivery period of 15 days for knuckle booms – 20 days for its larger cranes.

The main negative factor, according to Palfinger, was “unsatisfactory productivity” from its Guima hook loader division, which the company acquired back in 1999 as part of its purchase Financiere Ghiretti SA.

If economic conditions remain stable, Palfinger expects to further reduce its EBIT in 2004, while sustainable cost cuts are expected with the completion of it Location Optimization Program. The company said that it will also be expanding its service business and restructuring the Guima division in the coming months.