Fourth quarter 2024
- Order intake increased 22 per cent to SEK 506 million (414); organic order growth was 22 per cent.
- Net sales increased 27 per cent to SEK 393 million (308); organic net sales growth was 27 per cent.
- Operating profit increased 231 per cent to SEK 63 million (19) and the operating margin was 16.0 per cent (6.2).
- Profit for the period increased 504 per cent to SEK 54 million (9).
- Basic and diluted earnings per share amounted to SEK 0.35 (0.07).
January - December 2024
- Order intake increased 14 per cent to SEK 1,716 million (1,510); organic order growth was 14 per cent.
- Net sales declined 13 per cent to SEK 1,649 million (1,898); organic net sales growth was -13 per cent.
- Operating profit declined 21 per cent to SEK 295 million (376) and the operating margin was 17.9 per cent (19.8).
- Profit for the period declined 20 per cent to SEK 229 million (285).
- Basic and diluted earnings per share amounted to SEK 1.42 (1.81).
- The Board of Directors proposes a dividend of SEK 1.00 (0.94) per share, to be paid in two equal instalments.
CEO Krister Blomgren comments:
"2024 was a year with challenging market conditions. Sales were constrained by weakened demand in the Nordic region, while Europe reported growth despite an uncertain market and a decline in excavator sales. We summarize the full year 2024 with net sales of SEK 1,649 million (1,898), operating profit of SEK 295 million (376) and an operating margin of 18 per cent (20), which is a stable profitability level given the current conditions.
Net sales in the quarter amounted to SEK 393 million (308), an increase of 27 per cent compared with the low levels of the preceding year. The gross margin was a stable 43 per cent (40) and increased primarily as a result of higher net sales. Combined, this raised operating profit by 231 per cent to SEK 63 million (19) and the operating margin to 16 per cent (6). The order intake was the highest since the fourth quarter 2022, amounting to SEK 506 million (414), an organic increase of 22 per cent. It is a positive sign that all regions posted increased order intake.
Europe continues to show strong growth with the highest net sales and order intake. However, the Nordic region is the one that accounts for the largest increase in order intake with 34 per cent, which was in part the result of pre-ordering and can be seen as a sign of an increasingly optimistic view of the market situation. In the Americas, order intake increased organically by 17 per cent. Over the past year, we have announced challenges within our U.S. organization. As a result of this, we have decided to make changes to the management structure. We are also choosing to invest further in Asia by strengthening our presence through the establishment of a sales company in Japan.
Market conditions are still largely unpredictable, in part due to the geopolitical situation and potential tariffs in the US. As previously announced, we expect a stable trend with continued growth. We foresee an increase from low levels in the Nordic region and that growth in Europe will continue."
Q4 presentation today at 11.00 CEST
The report will be presented by Krister Blomgren, CEO and Marcus Asplund, CFO at 11.00 a.m. CEST today at a webcasted telephone conference accessible via this link: https://engcon.events.inderes.com/q4-report-2024
To access the teleconference, and thereby be able to ask questions, please register via the link below. After registration, you will be provided phone numbers and a conference ID to log in.
https://conference.inderes.com/teleconference/?id=5008698
The presentation material and a recorded version of the conference will be available at www.engcongroup.com.
For more information, please contact:
Krister Blomgren, CEO
krister.blomgren@engcon.com
+46 70 529 92 65
Anne Vågström, Head of Investor Relations
anne.vagstrom@engcon.se
+46 76 126 40 84
engcon is the leading global supplier of tiltrotators and associated equipment that enhance efficiency, flexibility, profitability, safety and sustainability of excavators. With knowledge, commitment and a high level of service, engcon's about 400 employees create success for their customers. engcon was founded in 1990, headquartered in Strömsund, Sweden and address the market through 15 local sales companies and an established network of resellers around the world. Net sales amounted to approximately SEK 1.6 billion in 2024. engcon's B share is listed on Nasdaq Stockholm.
For more information, visit www.engcongroup.com
This information is information that engcon AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2025-02-21 08:00 CET.
