Strong Q2 profit for Wacker Neuson in 2014

1651 Wacker Neuson, the Munich, Germany-based manufacturer of light and compact equipment has posted a clear profit increase in the second quarter of 2014, with revenue remaining at the same level as the previous year.

The group posted new record revenue and earnings figures for the first six months of the year, and has confirmed its forecast for fiscal 2014.

The company reported revenue of €328.4 million for Q2, 2014, bringing the group close to the record figure reported for the prior-year period (Q2 2013: €329.0 million). Adjusted to discount currency fluctuations, revenue increased by 2%.

Profit before interest and tax (EBIT) reached €41.3 million in the second quarter of 2014, an increase of 41% compared to the previous year (Q2 2013: €29.3 million) meaning  the group's EBIT margin grew from 8.9% to 12.6%, with the EBITDA margin increasing from 13.6% to 17.3%.

In the first six months of 2014 revenue grew by 6% on the previous year to €620 million (H1 2013: €586.1 million), a new record high for the group.

“We were able to further expand our market position in Europe, boosting revenue here by 10%,” says Cem Peksaglam, CEO of Wacker Neuson.

“We also reported growth in North America. However, South America and Asia-Pacific developed below our expectations due to falling demand and currency fluctuations.”

The compact equipment segment proved to be a key growth driver, with revenue increasing 13%.