Industrial Trucks & Services segment
Business performance and order intake
A total of 159.5 thousand new trucks were ordered from the KION Group’s brand companies in the first nine months of 2018, a rise of 7.9 per cent compared with the prior-year period. The rate of increase for the third quarter was 8.1 per cent. Of the total number of orders, 61.2 per cent were accounted for by the Linde brand including Fenwick, 31.9 per cent by the STILL brand including OM STILL and the remaining 6.9 per cent by the Baoli and OM Voltas brands. The total value of order intake rose by 4.8 per cent to €4,486.4 million (Q1 – Q3 2017: €4,279.9 million), despite negative currency effects of €83.1 million. > TABLE 07
Key figures – Industrial Trucks & Services |
07 |
|||||||
in € million |
Q3 2018 |
Q3 2017* |
Change |
Q1 – Q3 2018 |
Q1 – Q3 2017* |
Change |
||
|
||||||||
Order intake |
1,454.8 |
1,351.6 |
7.6% |
4,486.4 |
4,279.9 |
4.8% |
||
Total revenue |
1,417.9 |
1,312.9 |
8.0% |
4,236.2 |
4,025.2 |
5.2% |
||
EBITDA |
325.0 |
317.6 |
2.3% |
944.3 |
916.3 |
3.1% |
||
Adjusted EBITDA |
326.0 |
318.3 |
2.4% |
945.0 |
916.9 |
3.1% |
||
EBIT |
156.2 |
149.4 |
4.6% |
429.5 |
435.3 |
–1.3% |
||
Adjusted EBIT |
157.4 |
150.3 |
4.8% |
441.6 |
436.7 |
1.1% |
||
|
|
|
|
|
|
|
||
Adjusted EBITDA margin |
23.0% |
24.2% |
– |
22.3% |
22.8% |
– |
||
Adjusted EBIT margin |
11.1% |
11.4% |
– |
10.4% |
10.8% |
– |
||
Revenue
The segment’s total revenue increased by 5.2 per cent to €4,236.2 million in the nine-month period (Q1 – Q3 2017: €4,025.2 million). Negative currency effects of €82.7 million impacted revenue. The stronger increase in revenue during the third quarter was attributable, among other factors, to the countermeasures implemented in the first half of the year to deal with the production and delivery delays. Revenue from the service business went up by 6.0 per cent in the nine-month period, with the aftersales and used truck businesses making the biggest percentage contribution. The proportion of segment revenue attributable to the service business grew to 50.2 per cent (Q1 – Q3 2017: 49.8 per cent).
Earnings
The segment’s earnings were depressed by inefficiencies resulting from bottlenecks at individual suppliers and by higher material prices, wage cost rises and currency effects. Nevertheless, adjusted EBIT came to €441.6 million, which was above the figure for the prior-year period of €436.7 million. The adjusted EBIT margin for the segment decreased year on year to reach 10.4 per cent (Q1 – Q3 2017: 10.8 per cent). Taking into account non-recurring items and purchase price allocation effects, EBIT amounted to €429.5 million (Q1 – Q3 2017: €435.3 million).
Adjusted EBITDA rose to €945.0 million (Q1 – Q3 2017: €916.9 million). This equated to an adjusted EBITDA margin of 22.3 per cent (Q1 – Q3 2017: 22.8 per cent).