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Jungheinrich Posts Strong Second Quarter in 2013

World Material Handling Equipment Market Grows by 4 Per Cent/Order Books Greatly Improved/Forecast for 2013 Confirmed

Hamburg—Following the moderate start to the 2013 financial year, the Jungheinrich Group picked up the pace in terms of both incoming orders and earnings in the second quarter. In the first half of 2013, consolidated net sales nearly matched last year's corresponding level. Demand improved continuously from April to June 2013. Proof of the good order books is provided by the 31 per cent increase in orders on hand since the end of December 2012. The Board of Management confirms its forecast for the fiscal year underway.


Irrespective of the sluggish recovery of the global economy, the world material handling equipment market grew by 4 per cent in the first half of 2013, encompassing 507.8 thousand forklift trucks compared to 489.2 thousand units in the same period last year. Demand in Europe was down by 2 per cent. Western Europe experienced a decline of 3 per cent, whereas Eastern Europe's market volume expanded by 5 per cent. The Asian market was enlarged by 4 per cent, to which China contributed a gain of 8 per cent. The North American market experienced another marked increase, growing by 10 per cent.

In the first half of 2013, the value of the Jungheinrich Group's incoming orders, encompassing all business fields, was slightly higher year on year, amounting to 1,169 million euros (prior year: 1,140 million euros). In the second quarter of 2013, incoming orders rose by 4 per cent over the figure recorded in the same period last year (560 million euros) to 582 million euros. As of June 30, 2013, orders on hand from new truck business totalled 391 million euros and were thus 93 million euros, or 31 per cent, higher than at the end of 2012. The order reach was in excess of four months.

Due to amendments to IFRS accounting policies and changes in disclosure to increase the transparency of reporting from January 1, 2013 onwards, Jungheinrich adjusted the comparable figures for the 2012 financial year. On a like-for-like basis, net sales in the second quarter of 2013 amounted to 564 million euros and were thus essentially unchanged compared to the same period last year (562 million euros). Cumulatively, consolidated net sales totalled 1,078 million euros in the first half of 2013, nearly matching last year's comparable figure (1,095 million euros). In Germany, net sales declined by 2 per cent to 289 million euros in the first six months of 2013 (prior year: 294 million euros). Foreign net sales also decreased by 2 per cent, to 789 million euros (prior year: 801 million euros).

The marginal drop in net sales at the Group level is due to a decline in net sales in new truck business, whereas net sales generated from trucks for short-term hire and used equipment as well as after-sales services displayed a positive development. In the first half of 2013, the Jungheinrich Group posted 551 million euros in net sales from new truck business (prior year: 573 million euros). Overall, the short-term hire and used equipment business grew by 7 per cent to 195 million euros (prior year: 183 million euros). After-sales services recorded a gain of 4 per cent, advancing to 343 million euros (prior year: 331 million euros).

In the second quarter of 2013, the Jungheinrich Group increased its earnings thanks to the rise in plant capacity utilization compared to the preceding quarter. Earnings before interest and taxes (EBIT) in this period amounted to 46.1 million euros (prior year: 44.7 million euros). In the first six months of 2013, cumulative EBIT totalled 82.1 million euros (prior year: 85.5 million euros). By the middle of the year, the corresponding return on sales was 7.6 per cent, falling just short of the figure recorded by the same point in time last year (7.8 per cent). Net income amounted to 27.4 million euros in the second quarter of 2013 (prior year: 28.7 million euros) and totalled a cumulative 49.3 million euros in the first half of 2013 (prior year: 54.1 million euros). Accordingly, earnings per preferred share in the first half of 2013 amounted to 1.48 euros (prior year: 1.62 euros).

The Jungheinrich Group's balance sheet total declined by 35 million euros and amounted to 2,724 million euros as of June 30, 2013 (12/31/2012: 2,759 million euros). The equity ratio rose to 28.2 per cent (12/31/2012: 27.3 per cent). Intangible and tangible assets were up 34 million euros to 388 million euros. This reflected the first-time consolidation of the logistics software firm ISA – Innovative Systemlösungen für die Automation GmbH and the strategic capital expenditure projects designed to expand capacity.

As regards the remaining business trend in the year underway, Jungheinrich continues to expect the world economy to record moderate growth. Against this backdrop, the company anticipates that the world material handling equipment market will post marginal growth for 2013 as a whole. From a current perspective, Europe's market should post a nearly stable development. Jungheinrich expects Asia's market to expand this year, primarily driven by the tangible recovery of China´s market that is setting in. The North American market is expected to continue its significant growth.

Says Hans-Georg Frey, Chairman of the Board of Management of Jungheinrich AG: "Based on the economic forecasts, the anticipated developments on the world material handling equipment market and the visible upward order trend which has persisted since the beginning of the year, we are confident of being able to achieve incoming orders and net sales in 2013 of an order similar to last year's. In terms of EBIT, we confirm our estimate of between 165 and 175 million euros."

Jungheinrich ranks among the world’s leading companies in the material handling equipment, warehousing and material flow engineering sectors. The company is an intralogistics service and solution provider with manufacturing operations, which offers its customers a comprehensive range of forklift trucks, shelving systems, services and advice. Jungheinrich shares are traded on all German stock exchanges.

Please address press-related inquiries to:

Jungheinrich AG, Markus Piazza, Head of Corporate Communications

Phone: +49-40-6948-1550, Fax: +49-40-6948-1599,

Source: Jungheinrich