22.04.2008

Slow first quarter for Haulotte

Haulotte the French based aerial lift and telescopic handler manufacturer has posted a seven percent ‘like for like’ decline in its first quarter revenues, but raised its full year projections.

Total revenues were €122.2 million compared with €144.2 million in 2007, a decline of 15 percent. However revenues from LEV, its French rental business, were €7.8 million in the same period 2007. Lev was sold to Loxam at the start of this year.

The company says that strong increases in sales to emerging markets – up 50 percent, and in parts and services – up 16 percent was offset by a 14 percent fall in sales to Western Europe. Reflecting a greater caution, it says, among many customers in the region at the start of the year.

In spite of the poor start to the year, compared to an increase of 37 percent last year, Haulotte says that it anticipates beating its full year revenue forecast of €700 and has raised its forecast to €730 million. This represents an increase of 12 percent on 2007 – 17.5 percent if you allow for the loss of the Lev rental business.

The company has also announced the cancellation of treasury shares representing 5.4 percent of its share capital. The shares were intended for use in connection with potential acquisitions which is not anticipated in the short term.

Vertikal Comment

The fall in revenues is a little surprising, given that the company reported a strong fourth quarter. It is true that given all the negative publicity over the world economy, buyers in a number of countries have been hesitant to commit to capital expenditure at the start of the year and Lavendon’s major acquisitions in Belgium, Spain and the UK have had some effect on the local markets.

The USA has also been a disappointment with a large anticipated order from a major rental company not coming to fruition.

However CEO Alexander Saubot is clearly confident, most likely from order intake over the past six weeks or so, that the company will not only achieve its full year plan but beat it.

The company has also had a number of senior personnel issues this year with the surprise departure of Pierrick Lourdain just before Conexpo, followed by its US general manager Chris Koch just after the show.

This week the company parted company with the manager of its Dutch operation. Patrick Degen, general manager of its German business, has taken over the overall responsibility for Haulotte Netherlands.

Haulotte has a long track record of overcoming challenges and Saubot is a relatively conservative operator. So our money is still on the company achieving its plans and having what will still be a good year.




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