Cargotec - Interim report (Q1 and Q3)

Cargotec's January-June 2015 interim report: profitability improved clearly, MacGregor market situation challenging

CARGOTEC CORPORATION, INTERIM REPORT, 21 JULY 2015 AT 8.30 AM EEST

Cargotec's January-June 2015 interim report: profitability improved clearly,
MacGregor market situation challenging

April-June 2015 in brief
  * Orders received declined 11 percent and totalled EUR 887 (993) million.
  * Order book grew 6 percent from the 2014 year-end, and at the end of the
    reporting period it totalled EUR 2,342 (31 Dec 2014: 2,200) million.
  * Sales grew 16 percent to EUR 936 (804) million.
  * Operating profit excluding restructuring costs was EUR 58.0 (4.7) million,
    representing 6.2 (0.6) percent of sales.
  * Operating profit was EUR 54.9 (-6.0) million, representing 5.9 (-0.7)
    percent of sales.
  * Cash flow from operations before financial items and taxes totalled EUR
    101.3 (24.4) million.
  * Net income for the period amounted to EUR 27.4 (-9.3) million.
  * Earnings per share was EUR 0.43 (-0.15).

January-June 2015 in brief
  * Orders received declined 2 percent and totalled EUR 1,826 (1,856) million.
  * Sales grew 17 percent to EUR 1,825 (1,555) million.
  * Operating profit excluding restructuring costs was EUR 110.3 (29.3) million,
    representing 6.0 (1.9) percent of sales.
  * Operating profit was EUR 106.2 (17.8) million, representing 5.8 (1.1)
    percent of sales.
  * Cash flow from operations before financial items and taxes totalled EUR
    152.8 (56.9) million.
  * Net income for the period amounted to EUR 63.9 (3.6) million.
  * Earnings per share was EUR 0.99 (0.05).


Outlook for 2015 unchanged
Cargotec's 2015 sales are expected to grow from 2014. Operating profit excluding
restructuring costs for 2015 is expected to improve from 2014.



Cargotec's key figures

 MEUR                  4-6/2015 4-6/2014 Change 1-6/2015 1-6/2014 Change   2014
-------------------------------------------------------------------------------
 Orders received            887      993   -11%    1,826    1,856    -2%  3,599

 Order book, end of
 period                   2,342    2,285     2%    2,342    2,285     2%  2,200

 Sales                      936      804    16%    1,825    1,555    17%  3,358

 Operating profit*         58.0      4.7 1,138%    110.3     29.3   276%  149.3

 Operating profit, %*       6.2      0.6             6.0      1.9           4.4

 Operating profit          54.9     -6.0    N/A    106.2     17.8   496%  126.6

 Operating profit, %        5.9     -0.7             5.8      1.1           3.8

 Income before taxes       46.3    -12.9            93.8      5.4          98.2

 Cash flow from
 operations               101.3     24.4           152.8     56.9         204.3

 Net income for the
 period                    27.4     -9.3            63.9      3.6          72.0

 Earnings per share,
 EUR                       0.43    -0.15            0.99     0.05          1.11

 Net debt, end of
 period                     735      847             735      847           719

 Gearing, %                56.9     71.9            56.9     71.9          59.2

 Personnel, end of
 period                  10,730   10,879          10,730   10,879        10,703


*excluding restructuring costs


Cargotec's President and CEO Mika Vehviläinen:
In the second quarter, market activity and orders were healthy in Kalmar and
Hiab, but orders for MacGregor remained low due to a challenging shipping
market. Our sales developed favourably during the quarter. The development of
Hiab and Kalmar's operating profit margin during several quarters shows that
profit improvement measures have yielded sustainable results. We cannot be
satisfied with profitability in MacGregor. However, effectiveness and cost
savings programmes are progressing as planned and we continue with our
determined efforts to safeguard MacGregor's profitability.

I am delighted to state that Kalmar and Hiab completed their profit improvement
programmes - begun in 2013 - ahead of schedule. Efficiency improvement in these
business areas continues, but the focus is shifting towards profitable growth.
We have determinedly invested in product development and our offering. Hence, I
am convinced that we can provide our customers with significant added value in
their cargo handling needs. We will also continue developing our service
business in all business areas.

Press conference for analysts and media
A press conference for analysts and media, combined with a live international
telephone conference, will be arranged on the publishing day at 10:00 a.m. EEST
at Cargotec's head office, Porkkalankatu 5, Helsinki. The event will be held in
English. The report will be presented by President and CEO Mika Vehviläinen and
Executive Vice President, CFO Eeva Sipilä. The presentation material will be
available at www.cargotec.com by 10:00 a.m. EEST.

The telephone conference, during which questions may be presented, can be
accessed using the following numbers with access code Cargotec/953925:
FI: +358 9 2313 9201
SE: +46 8 5052 0110
UK: +44 207 1620 077
US: +1 334 323 6201

The event can also be viewed as a live webcast at www.cargotec.com. An on-demand
version of the conference will be published at Cargotec's website later during
the day.

A replay of the conference call will be available until midnight 23 July 2015 in
the following numbers: US callers +1 954 334 0342, non-US callers
+44 20 7031 4064, access code 953925.

For further information, please contact:
Eeva Sipilä, Executive Vice President and CFO, tel. +358 20 777 4104
Paula Liimatta, Director, Investor Relations, tel. +358 20 777 4084

Cargotec shapes the cargo handling industry for the benefit of its customers and
shareholders. Cargotec's business areas MacGregor, Kalmar and Hiab are
recognised leaders in cargo and load handling solutions around the world. Their
global network is positioned close to customers and offers extensive services
that ensure a continuous, reliable and sustainable performance according to
customers' needs. Cargotec's sales in 2014 totalled approximately EUR 3.4
billion and it employs approximately 11,000 people. Cargotec's class B shares
are quoted on NASDAQ OMX Helsinki Ltd under symbol CGCBV. www.cargotec.com

[HUG#1940079]

Attachments:

Interim report, pdf.pdf