The Finnish cargo-handling machinery company, Cargotec has seen its orders in the second quarter of the year to hit an astronomical increase of 101%, compared to the same period of 2020, totalling US$1.52 billion.
Cargotec’s CEO, Mika Vehviläinen explained the reasons for record-high orders in Hiab and Kalmar. “The demand for our solutions was further increased by the market recovery after last year’s difficult pandemic situation and the increase in economic activity that started at the end of 2020,” he said.
Furthermore, Cargotec has seen a year-on-year growth of 13% in sales during the second quarter of the year, totalling more than US$1 billion.
At the same time, the company’s operating profit was approximately US$53 million, while net income amounted to US$30,8 million.
The economic recovery from the pandemic is also reflected in the prices of raw materials, components and freight transportation. “We are prepared to respond to the situation with price increases and active cooperation with our suppliers,” stated Vehviläinen.
“Challenges in the supply chain and the related price increases mainly affected Kalmar’s results,” he added.
Indeed, orders for Kalmar’s automation solutions remained moderate as customers continue to consider their larger investments carefully. “Hiab’s demand remained exceptionally strong, with orders received reaching a record number for a third consecutive quarter,” while MacGregor’s orders received increased by 41% from the comparison period as shipbuilding recovered in both merchant ship and offshore sectors.
As for the orders of the first half of the year, Cargotec totalled a growth of 69%. The sales, however, noted a slight decrease of 2% with a total of US$1.87 billion.
Thus, the operating profit reached almost US$82Â million, while net income amounted to US$41 million, in comparison to US$29 million, during the corresponding period of last year.
Last but not least, all the main demand drivers of the Finnish company noted a crucial rise, as Mika Vehviläinen stated. “The number of containers handled at ports globally, construction activity, and the level of new vessel contracting, were all growing strongly in early 2021,” he said.
