Wacker Neuson generated its highest quarterly revenue since the 2007 merger in the second quarter, the company said. Revenue rose 30 percent to €266.9 million (about U.S. $385.6 million). Group revenue for the first six months of the year totaled €478.7 million (about U.S. $691.7 million). EBITDA margin was 15 percent, revenue in the light equipment segment jumped 26 percent to €183.7 million (about U.S. $265.5 million) during the first half year.
The compact equipment segment was a major growth driver, generating revenue of €202.4 million (about U.S. $292.5 million), a 61.5-percent year over year leap.
“These strong growth rates bear testament to our strategies — primarily our decision to leverage the synergies of our existing sales network to distribute compact equipment outside of Europe,” said Richard Meyer, spokesman for the executive board. “We grew significantly faster than the overall market during the second quarter. This acted as a further lever for our earnings power and revealed efficiency gains across the group.”
EBITDA for the second quarter climbed 69.3 percent compared with the previous year at €45.7 million.
Wacker Neuson said favorable weather conditions brought an early start to the construction season in the U.S. and Europe. Demand for equipment and services accelerated. Rental companies continued to rejuvenate their fleets and invest in new equipment.
Based on the strong results, Wacker Neuson’s executive board raised its forecast for the full 2011 fiscal year to between €910 and €930 million (previous estimates were between €880 and €920 million).
“The first half year is typically our strongest period,” said Günther Binder, Wacker Neuson’s chief financial officer. “However, all signs remain positive for the second half of the year. Even if economic growth cools in our core markets, we expect demand for our products to remain high, bolstered in part by our sales strategies. We therefore remain committed to our target of generating at least €1 billion in revenue in 2012 and achieving an EBITDA margin in excess of 15 percent.”
New Wacker Neuson CEO Cem Peksaglam will assume the position of CEO Sept. 1, replacing Dr. Georg Sick.
Wacker Neuson is based in Munich with U.S. headquarters in Menomonee Falls, Wis.