Industrial Trucks and Services segment

Business performance and order intake

The Operating Units in the Industrial Trucks & Services segment increased orders for new trucks by 14.9 per cent to 102.4 thousand units in the first six months of 2017. The KION Group achieved broad-based double-digit growth rates across regions and product groups. Of the total order volume, 62.7 per cent was accounted for by the Linde brand including Fenwick, 30.0 per cent by the STILL brand including OM STILL and 7.3 per cent by the Baoli and Voltas brands. The total value of order intake rose by 11.1 per cent to €2,928.3 million (H1 2016: €2,635.2 million).

Revenue

The total revenue of the Industrial Trucks & Services segment amounted to €2,740.2 million, an increase of 9.2 per cent compared with the first six months of last year (H1 2016: €2,508.7 million). The new truck business generated strong growth of 11.4 per cent. Revenue from electric forklift trucks and warehouse equipment was significantly higher year on year, but there was only a slight rise in revenue from diesel trucks. Within the service business, the aftersales and rental businesses made substantial revenue gains. The proportion of the segment’s external revenue accounted for by the service business was 44.3 per cent (H1 2016: 45.4 per cent).

Earnings

The growth in revenue combined with the efficiency measures meant that adjusted EBIT at €295.8 million was considerably higher than in the prior-year period (H1 2016: €267.8 million). The adjusted EBIT margin for the segment increased to 10.8 per cent (H1 2016: 10.7 per cent). Even after taking into account non-recurring items and purchase price allocation effects, EBIT was significantly higher year on year at €295.3 million (H1 2016: €251.6 million).

Adjusted EBITDA stood at €495.6 million (H1 2016: €449.3 million). This equated to an adjusted EBITDA margin of 18.1 per cent (H1 2016: 17.9 per cent). > TABLE 08

Key figures – Industrial Trucks & Services –

08

in € million

Q2 2017

Q2 2016

Change

Q1 – Q2 2017

Q1 – Q2 2016

Change

Order intake

1,513.7

1,377.8

9.9%

2,928.3

2,635.2

11.1%

Total revenue

1,417.0

1,311.7

8.0%

2,740.2

2,508.7

9.2%

EBITDA

267.9

248.2

7.9%

495.6

447.7

10.7%

Adjusted EBITDA

267.5

248.7

7.6%

495.6

449.3

10.3%

EBIT

167.0

148.2

12.7%

295.3

251.6

17.4%

Adjusted EBIT

166.7

156.0

6.9%

295.8

267.8

10.4%

 

 

 

 

 

 

 

Adjusted EBITDA margin

18.9%

19.0%

18.1%

17.9%

Adjusted EBIT margin

11.8%

11.9%

10.8%

10.7%