Wacker Neuson sees 11% revenue growth in 2014
Compact and light equipment manufacturer, Wacker Neuson, achieved revenue of €1.28bn ($1.35bn) last year, compared to €1.16bn ($1.23bn) in 2013
Wacker Neuson Group’s revenue grew to €1.28bn ($1.35bn) in 2014, an 11% increase over the €1.16bn ($1.23bn) achieved during the previous year.
The compact and light equipment manufacturer also its saw profit before interest, tax, depreciation, and amortisation (EBITDA) rise to €196m ($208m) last year, 28% growth over the 2013 figure of €153m ($162m).
Commenting on the results, the company said that business in Central Europe and North America was comparatively robust in 2014, although markets across South America were weaker than expected.
“The fact that our business in Europe grew by 12%, despite regional weaknesses, shows that our strategy is delivering,” said Cem Peksaglam, CEO of Wacker Neuson SE.
“In North America, a vigorous economy and the expansion of our dealer network helped drive growth,” he added.
Revenue for the Americas increased by 9%, and the firm also reported growth of 8% in the Asia-Pacific region. When adjusted for local currencies, all regions achieved double-digit growth compared to the previous year.
Wacker Neuson’s biggest gains were driven by its compact equipment segment, which accounted for 47% of the group’s revenue.
“Broadening the reach of our compact equipment within Europe and beyond is paying dividends,” explained Peksaglam.
“We are gaining many new users in the agricultural and construction sectors. Companies in the gardening and landscaping sectors, as well as municipal bodies and other industries, are also investing in compact, powerful machines, which increase the efficiency of their operations,” he concluded.
The manufacturer’s executive and supervisory boards aim to share the 2014 successes with shareholders by recommending a dividend payout of €0.50 ($0.53) per share at the annual general meeting (AGM) in May. This represents a distribution ratio of approximately 39% on consolidated earnings, which is in line with Wacker Neuson Group’s long-term dividend policy.