20.06.2016

Record revenues for Liebherr

Liebherr has reported a 4.7 percent rise in revenues, with solid growth in both mobile and tower crane divisions, offset slightly by a small fall in the maritime crane business.

The mobile crane business saw revenues rise 8.4 percent to €2.16 billion thanks to strong rise in sales to Western Europe and in particular the UK and the Netherlands. Sales were also higher in Asia and the Middle East, while North America and Russia both saw declines. The company now claims to have increased its share of the All Terrain market to more than 50 percent, with four and five axles being the best sellers in 2015. Investment in the division’s production facilities was €57 million, slightly lower than last year.

Tower crane revenues were 6.3 percent higher at €440 million, thanks to strong sales in Western Europe particularly the Netherlands, Belgium and Switzerland. Gains were also recorded in Turkey, the USA and Middle East especially in the UAE and Qatar. The German market slipped back a little. Sales of top slewers and mobile self-erectors were stronger, while deliveries of regular self-erectors were lower. Liebherr invested €57 million in the division’s facilities.

The Maritime crane business reported a decline of 2.4 percent to €964 million, although strong improvements were seen in the UK, Netherlands and Spain. This takes total sales of Liebherr cranes to over €3.5 billion.

The group as a whole reported total revenues of €9.24 billion, 4.7 percent up on 2014 and a new record. However pre-tax profits declined 13 percent to €434 million, due almost entirely to higher finance costs. The company expects revenues in 2016 to be at roughly the same level as 2015.

Chairman Willi Liebherr said: All in all, we can be very satisfied with last year’s results. Turnover was higher than in any previous year in the company’s history, despite the fact that the global economy lost impetus compared to 2014. We were especially pleased that there was growth in almost all our divisions.

Vice chairman Isolde Liebherr added: We achieved satisfactory growth rates in Western Europe, America and the Far East / Australia in particular, and there was notably positive progress in Germany, the USA and Great Britain, in other words in well-established industrial countries.

Vertikal Comment

Another solid set of numbers from Liebherr which grinds on regardless as it plots a long term stable progression investing continually in its production facilities and new products. With several companies in the mobile crane market struggling, an increase of more than eight percent is exceptional.

While the company is forecasting flat revenues for 2016, expect to see some growth in all three crane divisions.