Atlas Copco: Strong Order Intake and Profit with Solid Cash Flow
“The overall demand for our products and solutions remained high and the order intake increased significantly year on year”, said Mats Rahmström. “We’ve seen solid growth in all business areas and in all regions compared with the third quarter last year. Compared with the strong second quarter this year, the overall demand remained more or less unchanged.”
Orders received in the third quarter grew to MSEK 33 023 (24 246), an organic growth of 36 percent. Revenues increased 12 percent to MSEK 27 824 (24 849), an organic growth of 12 percent. Operating profit increased 26 percent to MSEK 6 000 (4 760), corresponding to a margin of 21.6 percent (19.2). Adjusted operating profit, excluding items affecting comparability, was MSEK 6 109 (5 021), corresponding to a margin of 22.0 percent (20.2). Return on capital employed was 27 percent (24).
Compared with last quarter, the strong order increase for vacuum equipment to the semiconductor industry was offset by a decreased order intake for industrial and portable compressors, industrial tools and assembly solutions, and industrial vacuum equipment. Order volumes for the service business remained unchanged compared to the previous quarter.
“We have seen continued sequential order growth in some customer segments, but the overall order volumes for the Group did not increase compared to the previous quarter”, said Mats Rahmström. “I want to take the opportunity to recognize the dedication and commitment of our teams when it comes to supporting our customers given the supply chain challenges the industry is facing. During the quarter, our teams have also launched several new sustainable innovations that will reduce our customers’ energy consumption and increase their productivity.”Looking ahead, in the near-term, Atlas Copco expects that the customers’ business activity level will remain high, but weaken compared to the very high level in the third quarter.
Source: Atlas Copco AB