Published:

2012-02-02 08:00:01 CET

Registered:

2012-02-02 08:00:19 CET

REGULATED INFORMATION

Swedish

English

Finnish

Konecranes Oyj - Financial Statement Release

GROWTH IN ORDERS AND SALES, OPERATING PROFIT ON PREVIOUS YEAR’S LEVEL

Figures in brackets, unless otherwise stated, refer to the same period a year
earlier.

FOURTH QUARTER HIGHLIGHTS

- Order intake EUR 473.9 million (477.7), -0.8 percent: Service +18.7 percent
and Equipment -9.5 percent.
- Order book EUR 991.8 million (756.2) at year-end, +31.2 percent compared with
a year before.
- Sales EUR 598.2 million (469.4), +27.4 percent: Service +11.1 percent and
Equipment +36.7 percent.
- Operating profit before restructuring costs EUR 47.5 million (45.8), 7.9
percent (9.8) of sales.
- Restructuring costs EUR 10.3 million (0.0).
- Operating profit, including restructuring costs, EUR 37.2 million (45.8), 6.2
percent of sales (9.8).
- Earnings per share (diluted) EUR 0.39 (0.55).
- Net cash flow from operating activities EUR 10.4 million (31.2).
- Net debt EUR 219.8 million (-17.4) and gearing 50.1 percent (-3.8).

FULL YEAR 2011 HIGHLIGHTS

- Orders received EUR 1,896.1 million (1,536.0), +23.4 percent: Service +14.7
percent and Equipment +28.5 percent.
- Sales EUR 1,896.4 million (1,546.3), +22.6 percent: Service +12.5 percent and
Equipment +26.6 percent.
- Operating profit before restructuring costs EUR 117.2 million (115.1), 6.2
percent (7.4) of sales.
- Restructuring costs EUR 10.3 million (2.7).
- Operating profit, including restructuring costs, EUR 106.9 million (112.4),
5.6 percent of sales (7.3).
- Earnings per share (diluted) EUR 1.10 (1.34).
- Net cash flow from operating activities EUR -20.8 million (57.4).
- Dividend proposed by Board of Directors is EUR 1.00 (1.00) per share.

MARKET OUTLOOK

Forecasting the demand continues to be challenging due to the macroeconomic
uncertainties. Based on the current offer base, the demand outlook is stable.
However, due to the timing of large port crane projects, the quarterly
Equipment order intake may fluctuate.

FINANCIAL GUIDANCE

Based on the order book, we forecast year 2012 sales and operating profit to be
higher than in 2011.

KEY FIGURES Fourth quarter January-December
--------------------------------------------------------------------------------
10-12/ 10-12/ Change 1-12/ 1-12/ Change
2011 2010 % 2011 2010 %
--------------------------------------------------------------------------------
Orders received, MEUR 473.9 477.7 -0.8 1,896.1 1,536.0 23.4
--------------------------------------------------------------------------------
Order book at end of period, 991.8 756.2 31.2 991.8 756.2 31.2
MEUR
--------------------------------------------------------------------------------
Sales total, MEUR 598.2 469.4 27.4 1,896.4 1,546.3 22.6
--------------------------------------------------------------------------------
EBITDA excluding 57.3 53.9 6.3 154.3 145.8 5.8
restructuring costs, MEUR
--------------------------------------------------------------------------------
EBITDA excluding 9.6% 11.5% 8.1% 9.4%
restructuring costs, %
--------------------------------------------------------------------------------
Operating profit excluding 47.5 45.8 3.6 117.2 115.1 1.8
restructuring costs, MEUR
--------------------------------------------------------------------------------
Operating margin excluding 7.9% 9.8% 6.2% 7.4%
restructuring costs, %
--------------------------------------------------------------------------------
EBITDA, MEUR 51.2 53.9 -5.0 148.1 143.6 3.2
--------------------------------------------------------------------------------
EBITDA, % 8.6% 11.5% 7.8% 9.3%
--------------------------------------------------------------------------------
Operating profit, MEUR 37.2 45.8 -18.9 106.9 112.4 -4.9
--------------------------------------------------------------------------------
Operating margin, % 6.2% 9.8% 5.6% 7.3%
--------------------------------------------------------------------------------
Profit before taxes, MEUR 35.7 45.4 -21.5 95.8 111.3 -14.0
--------------------------------------------------------------------------------
Net profit for the period, 23.0 31.9 -28.1 64.9 78.2 -17.0
MEUR
--------------------------------------------------------------------------------
Earnings per share, basic, 0.39 0.55 -28.6 1.11 1.35 -17.6
EUR
--------------------------------------------------------------------------------
Earnings per share, diluted, 0.39 0.55 -28.6 1.10 1.34 -17.7
EUR
--------------------------------------------------------------------------------
Gearing, % 50.1% -3.8%
--------------------------------------------------------------------------------
Return on capital employed 17.1% 24.2%
%, Rolling 12 Months (R12M)
--------------------------------------------------------------------------------
Average number of personnel 10,998 9,739 12.9
during the period
--------------------------------------------------------------------------------

President and CEO Pekka Lundmark,

“After the first three quarters of 2011 with only mediocre result development,
we were able to significantly improve our result during the fourth quarter.
Strong delivery volumes generated an operating profit of EUR 47.5 million
before restructuring costs, clearly the highest in 2011. As preliminarily
communicated in connection with the Q3 report, we also announced certain
restructuring measures during the fourth quarter, which resulted in one-time
charges of EUR 10.3 million in the quarter. Full-year 2011 operating profit
before restructuring costs was marginally higher than in 2010. All in all, we
are satisfied with our top-line growth and market share in 2011, but not with
the profit.

We have successfully increased our prices to compensate for the increased
costs. However, the competitive situation remains tough in the most parts of
the world. We are also actively reducing our fixed cost in places where growth
opportunities are limited, Western Europe being the most apparent one.

We started the year 2012 with an order book that was 31.2 percent higher than a
year ago. That gives us good visibility for the first half of the year. Right
now, the level of new inquires is also reasonably good, but it is very hard to
forecast the second half of 2012. It is important for us that the ability of
our customers to obtain financing is not hurt by the consequences of the public
debt crisis in the Western world. We forecast that both our sales and operating
profit in 2012 will increase from 2011.”

BOARD OF DIRECTORS' PROPOSAL FOR DISPOSAL OF DISTRIBUTABLE FUNDS

The parent company's non-restricted equity is EUR 135,183,409.18 of which the
net income for the year is EUR 40,050,228.07. The Group's non-restricted equity
is EUR 366,767,000.

According to the Finnish Companies Act, the distributable funds of the company
are calculated based on the parent company's non-restricted equity. For the
purpose of determining the amount of the dividend the Board of Directors has
assessed the liquidity of the parent company and the economic circumstances
subsequent to the financial year end.

Based on such assessments the Board of Directors proposes to the Annual General
Meeting that a dividend of EUR 1.00 be paid on each share and that the
remaining non-restricted equity is retained in shareholders' equity.

CORPORATE GOVERNANCE STATEMENT 2011

Konecranes complies with the Finnish Corporate Governance Code 2010 approved by
the Board of the Securities Market Association. Konecranes has issued a
Corporate Governance Statement based on the recommendation 54 of the Code,
which is attached to this release in pdf format and can be reviewed on the
corporate website of Konecranes at www.konecranes.com.

ANALYST AND PRESS BRIEFING

An analyst and press conference will be held at restaurant G.W. Sundmans'
Auditorium (address Eteläranta 16) at 11.00 a.m. Finnish time. The Financial
Statements will be presented by Konecranes' President and CEO Pekka Lundmark
and CFO Teo Ottola.

A live webcast of the conference will begin at 11.00 a.m. at
www.konecranes.com. Please see the stock exchange release on January 13, 2012
for the conference call details.

NEXT REPORT

Konecranes' January-March 2012 interim report will be published on April 25,
2012.

KONECRANES PLC

Miikka Kinnunen
Director, Investor Relations

For Further Information, Please Contact:
Mr Pekka Lundmark, President and CEO, tel. +358 20 427 2000
Mr Teo Ottola, Chief Financial Officer, tel. +358 20 427 2040Mr Miikka Kinnunen, Director, Investor Relations, tel. +358 20 427 2050
Mr Mikael Wegmüller, Vice President, Marketing and Communications, tel. +358 20
427 2008

Konecranes is a world-leading group of Lifting Businesses™, serving a broad
range of customers, including manufacturing and process industries, shipyards,
ports and terminals. Konecranes provides productivity-enhancing lifting
solutions as well as services for lifting equipment and machine tools of all
makes. In 2011, Group sales totaled EUR 1,896 million. The Group has 11,700
employees at 609 locations in 47 countries. Konecranes is listed on the NASDAQ
OMX Helsinki (symbol: KCR1V).

DISTRIBUTION
NASDAQ OMX Helsinki
Media
www.konecranes.com

Attachments:

CGS ENG 2011.pdf

Konecranes_Q4_2011_en.pdf