22.04.2004

Haulotte confirm results for 2003

Pinguely-Haulottes final results for 2003 show a remarkably strong performance given the state of the European market for aerials, which already down in 2002 fell further in 2003. Europe represents 91 percent of the company’s business.

Net profit before interest and tax, dropped 74 percent to three million euros, one and a half percent of revenues : However Earnings before depreciation and provisions rose by nine percent and held firm as a percentage of revenues at over 18 percent.

The company cites a number of reasons for this years dramatic drop in profits, including; increased price competition, particularly in the second half, the dollars weakness compared to the Euro and a cautious approach to provisions. However a look at the results would suggest that the shortfall is mostly due the high level of provisions and writes-offs taken in 2003, the closure of the production plant in Chambery certainly made up a significant part of these "exceptionals" but a significant write off is also likely to have been made for potential financing write offs, such as with UK platforms. a shortage of detail at this stage prevents a more thorough analysis.

Most certainly profitability at Haulotte is likely to bounce back in 2004, with an improving market in both Europe and the USA, cost savings on stream from the Chambery closure, a wider product range and the contribution of the new rental activity now covering both France and the UK. Haulotte are forecasting revenues in 2004 of 280 million, with the first quarters revenues up 30 percent on 2002, it is quite possible that the company will exceed this forecast. Profits are predicted to be back in the five percent range for the year.