Financial Statements for 1 January - 31 December 2013
Juho Nummela, President and CEO:
(February 18, 2014)
The year started with a weak order book. However, the demand for forest machines began to pick up already during the second quarter. A significant change for the better took place in order flows during the third quarter, and the order book grew continuously during the latter half of the year, ending up at EUR 99.8 (41.8) million. The order book grew by 138 percent compared with the comparison period. In spite of the extremely twofold year, Ponsse’s
net sales almost reached the same level as the previous year, even though the number of machines was lower.
Our renewal of product and production technology and our investments in services progressed as planned. The Scorpion launch exceeded expectations, and the new harvester entered serial production in early 2014.
With regard to our market areas, the positive trend in Russia and North America can be seen in profitability as well as cash flow from business operations. Problems in Europe were still visible, and the Swedish and Central European markets in particular remained relatively small. All of the deliveries to South America could not be invoiced in full during 2013, with some of the deliveries being postponed to the first quarter of 2014. As order flows developed, the factory returned to two shifts as of the beginning of June, and capacity was increased further in early December.
Our customers had plenty of work, with the demand for wood remaining favourable throughout the year, and our service business experienced strong growth. At the same time, our used machine sales grew significantly. Net sales for the last quarter amounted to EUR 101.5 (97.1) million, representing a change of +4.5 percent compared with the corresponding period. Net sales for the period under review stood at EUR 312.8 million, or 0.6 percent less than in the comparison period.
The operating result amounted to EUR 9.8 (8.7) million in the last quarter, equalling 9.6 (9.0) percent of net sales. The operating result for the period under review amounted to EUR 22.5 (24.5) million, equalling 7.2 (7.8) percent of net sales.
Cash flow from operating activities was very strong in the period under review, EUR 38.5 (13.3) million. The stock of new products was at a normal level. The stock of trade-in machines decreased as planned.
The equity ratio developed favourably, amounting to 36.5 percent. Ponsse repaid the hybrid loan of EUR 19 million in the period under review, and equity ratio is reaching the target levels as planned. At the same time, capital turnover developed favourably.