06.03.2008

Palfinger confirms 2007 results

Palfinger has issued its annual report and added detail and comment to its preliminary results announcement in late January. See another record year for Palfinger

Group Revenues for the full year were up almost 19 percent to €695.6 million, while Pre-Tax profits rose by over 35 percent to €102.4 million.

The company says that the positive results are largely driven by its lucrative crane business in Europe. Cranes, which are largely sold in Europe, represent over 73 percent of total revenues at €510 million.

In addition to continuing strong sales in Western Europe, the company says that it made strong progress in Eastern Europe, in particular Russia, as well as Central and South America. The USA which represents around five percent of its revenues was affected by the real estate and financial crises as well as the weak dollar against the euro.

The set back was compensated by a significant improvement in its Hydraulic Systems and Services segment, which includes its Bison aerial work platform business. Operating Profits/Losses improved from a loss of €7.36 million in 2006 to a loss of €83,000 in 2007. Bison lost €1.2 million during the period but higher sales more efficient production and its new TA product line are all expected to change this for 2008.

Palfinger says that it continues to operate at the limit of its production capacity and suffer from a tight materials supply situation which led to longer delivery times and delays in passing on increased raw material costs to its customers.

The company added between 10 and 15 percent more production capacity in 2007 and expects to add a further 10 percent in 2008.It also appointed Martin Zehnder to the management board with complete responsibility for production.