Industrial Trucks & Services segment
Business performance and level of orders
At 123.2 thousand, the number of new trucks ordered in the Industrial Trucks & Services segment in the first half of 2024 was up slightly year on year. The number of units ordered in the core EMEA market in the first six months was down a little on the comparatively high figure achieved in the prior-year period, whereas the order volume in the Americas region declined more heavily than expected. Order numbers in the APAC region increased significantly relative to the first half of 2023.
The value of order intake fell to €3,769.5 million (H1 2023: €3,957.3 million). This decline in the value of new orders – with order numbers up slightly – is attributable to changes in the product mix and the higher proportion of orders from the APAC region. In the service business, the value of order intake increased across all of the main categories.
At €2,602.4 million, the value of the ITS segment’s order book as at June 30, 2024 was lower than at the end of 2023 (December 31, 2023: €3,197.4 million), primarily because of the high volume of unit sales. The continued decline in demand for industrial trucks in North America also led to dealer orders from the previous year being canceled in the second quarter of 2024 due to a lack of sales potential.
in € million |
Q2 |
Q2 |
Change |
Q1 – Q2 |
Q1 – Q2 |
Change |
||
|---|---|---|---|---|---|---|---|---|
Total revenue |
2,153.2 |
2,129.9 |
1.1% |
4,306.3 |
4,134.7 |
4.1% |
||
EBITDA |
460.8 |
418.5 |
10.1% |
917.5 |
800.7 |
14.6% |
||
Adjusted EBITDA |
459.2 |
419.9 |
9.4% |
920.2 |
803.3 |
14.5% |
||
EBIT |
209.0 |
202.0 |
3.5% |
446.5 |
375.6 |
18.9% |
||
Adjusted EBIT |
231.0 |
202.3 |
14.2% |
470.7 |
378.9 |
24.2% |
||
|
|
|
|
|
|
|
||
Adjusted EBITDA margin |
21.3% |
19.7% |
– |
21.4% |
19.4% |
– |
||
Adjusted EBIT margin |
10.7% |
9.5% |
– |
10.9% |
9.2% |
– |
||
|
|
|
|
|
|
|
||
Order intake |
1,965.5 |
2,000.8 |
–35.3 |
3,769.5 |
3,957.3 |
–187.8 |
||
Order book1 |
|
|
|
2,602.4 |
3,197.4 |
–595.0 |
||
|
||||||||
Revenue
Total revenue in the Industrial Trucks & Services segment went up by 4.1 percent to €4,306.3 million in the reporting period (H1 2023: €4,134.7 million). The rise in the volume of unit sales was a factor in this revenue growth, and the higher sale prices that were achieved also made a significant contribution. The service business generated growth in all of the main categories, with its revenue rising by a total of 2.3 percent.
At 47.1 percent, the proportion of the segment’s external revenue attributable to the service business was lower than in the prior-year period (H1 2023: 48.0 percent) because of the increase in the share of revenue accounted for by new truck orders.
Earnings
The adjusted EBIT of the Industrial Trucks & Services segment rose sharply to €470.7 million (H1 2023: €378.9 million). Revenue growth, in conjunction with the stability of material prices, resulted in a much higher gross margin. Consequently, the ITS segment was able to maintain its profitability in double digits with an adjusted EBIT margin of 10.9 percent (H1 2023: 9.2 percent). After taking into account non-recurring items and purchase price allocation effects, the segment’s EBIT increased to €446.5 million (H1 2023: €375.6 million). The effects from purchase price allocations included the impairment of the goodwill of the KION ITS Americas Operating Unit that was carried out in an amount of €22.4 million in the second quarter of 2024.
Adjusted EBITDA came to €920.2 million in the first six months of 2024 (H1 2023: €803.3 million), giving an adjusted EBITDA margin of 21.4 percent (H1 2023: 19.4 percent).