Wacker Neuson Group reports 20 per cent revenue growth in Q3
The Wacker Neuson Group reported revenue of EUR 378.7 million for the third quarter of 2017. This corresponds to an increase of 20 per cent relative to the previous year (EUR 315.7 million). ?There is no doubt that we were buoyed by strong markets in North America and Europe. However, it was the successful implementation of our growth strategy that really enabled us to outgrow the market,? explains Martin Lehner, CEO, Wacker Neuson Group.
Profit before interest and tax (EBIT) nearly doubled to reach EUR 40 million (Q3/16: EUR 20.4 million), resulting in an EBIT margin of 10.6 per cent (Q3/16: 6.5 per cent).
Revenue in the light equipment segment rose 14 per cent, while the compact equipment and services segments reported increases of 27 per cent and 11 per cent, respectively. ?The need among international rental companies to catch up on equipment stock levels fuelled a significant increase in sales of light equipment, especially of generators and light towers. Growth in the compact equipment segment was driven by our ongoing success in the material handling business field in the European construction and agricultural sectors as well as by an expected upswing in sales of skid steer loaders manufactured in North America,? adds Martin Lehner.
The Group?s largest market, Europe ? which accounts for around 75 per cent of revenue ? reported a 17-per cent rise in revenue for the third quarter compared with the prior-year period. Revenue remained on a strong growth path in the Americas. This region reported major revenue gains in work site technology, skid steer loaders produced in the US, and compact equipment imported from Europe. In the third quarter, revenue for the region increased by 32 per cent relative to the previous year. In Asia-Pacific, revenue for the third quarter rose 14 per cent, with Australia emerging as the main growth driver. The Group is currently building a new factory for compact equipment in the Chinese city of Pinghu, near Shanghai. It plans to start manufacturing compact excavators for the Chinese market here from the first quarter of 2018 onwards.
Profit before interest and tax (EBIT) nearly doubled to reach EUR 40 million (Q3/16: EUR 20.4 million), resulting in an EBIT margin of 10.6 per cent (Q3/16: 6.5 per cent).
Revenue in the light equipment segment rose 14 per cent, while the compact equipment and services segments reported increases of 27 per cent and 11 per cent, respectively. ?The need among international rental companies to catch up on equipment stock levels fuelled a significant increase in sales of light equipment, especially of generators and light towers. Growth in the compact equipment segment was driven by our ongoing success in the material handling business field in the European construction and agricultural sectors as well as by an expected upswing in sales of skid steer loaders manufactured in North America,? adds Martin Lehner.
The Group?s largest market, Europe ? which accounts for around 75 per cent of revenue ? reported a 17-per cent rise in revenue for the third quarter compared with the prior-year period. Revenue remained on a strong growth path in the Americas. This region reported major revenue gains in work site technology, skid steer loaders produced in the US, and compact equipment imported from Europe. In the third quarter, revenue for the region increased by 32 per cent relative to the previous year. In Asia-Pacific, revenue for the third quarter rose 14 per cent, with Australia emerging as the main growth driver. The Group is currently building a new factory for compact equipment in the Chinese city of Pinghu, near Shanghai. It plans to start manufacturing compact excavators for the Chinese market here from the first quarter of 2018 onwards.
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