DEUTZ sees “encouraging” rise in net income for Q3

German engine manufacturer DEUTZ said it had a “very encouraging increase” in operating profit for the first three quarters of 2016. EBIT – earnings before interest and tax – stood at €19.7 million, significantly higher than the figure for the prior-year period of €10.6 million. DEUTZ said that this was due, in particular, to a decrease in depreciation and amortisation. Consequently, the EBIT margin almost doubled to reach 2.1%. Net income for the first nine months of 2016 was €18.8 million, compa
November 14, 2016 Read time: 2 mins
German engine manufacturer 201 DEUTZ said it had a “very encouraging increase” in operating profit for the first three quarters of 2016.

EBIT – earnings before interest and tax – stood at €19.7 million, significantly higher than the figure for the prior-year period of €10.6 million. DEUTZ said that this was due, in particular, to a decrease in depreciation and amortisation.

Consequently, the EBIT margin almost doubled to reach 2.1%.

Net income for the first nine months of 2016 was €18.8 million, compared with €7.3 million for the same period last year.

At €935.3 million, new orders were on a level with the first nine months of last year (Q1–Q3 2015: €932.9 million). In the third quarter, DEUTZ received orders amounting to €258.1 million, which was down by 1.6 per cent on the prior-year figure of €262.2 million.

The number of engines sold fell to 100,439, a decrease of 6.3% compared with the first nine months of 2015 (Q1–Q3 2015: 107,236 engines).

Third-quarter unit sales totalled 30,733 engines, which was 5.6% more than in the prior-year period (Q3 2015: 29,116 engines).

Revenue rose by 0.7% to €945.5 million in the nine-month period (Q1–Q3 2015: €938.8 million).

Broken down by region, revenue was up by 5% in the EMEA (Europe, Middle East and Africa) region and by nearly 20% in the Asia-Pacific region. But it was down by just over 19% in the Americas.

Revenue generated in the third quarter of 2016 amounted to €301.1 million, a year-on-year rise of 12.1% (Q3 2015: €268.6 million).
Finance & Funding

For more information on companies in this article

Related Content

  • Sales up 30% in Volvo CE’s Q1 2018
    April 24, 2018
    Significant market demand increases in all major regions – especially in Asia - helped propel Volvo Construction Equipment to a strong first quarter of 2018. During the first three months of the year, Volvo CE saw net sales jump by 30% to SEK 20,914m (€2.013bn – up from €1.55bn in Q1 2017). Operating income rose to SEK 2,888m (€278.03m), up 79% compared to SEK 1,615m (€155.48m) in the first quarter of 2017. Operating margin also saw strong improvement, at 13.8%, compared to 10% in the same period the year
    Read More
  • Volvo CE reports dip in machine sales
    October 30, 2012
    Volvo CE reports a drop in machine sales of 9% in the third quarter as market demand drops. The company says that it is facing a weakening total market, which was down 11% in the year to August. This has also been combined with increased price competition and has put pressure on its third quarter sales and earnings. The company says it has reacted quickly to a slowing global market by slowing the rate of production in its factories and reducing the number of machines held in stock at its dealerships. This
    Read More
  • Volvo CE is increasing margins despite weak sales
    July 24, 2013
    Volvo CE reports that its operating margin has recovered in the second quarter of 2013, although the firm has been hit by weaker sales, especially in the mining industry. This situation reflects the continued slowdown in the size of the total market for construction equipment and the company’s sales were down 19% during the period. However the firm said that behind the headline figures there were underlying positives, not least a good order intake and improving trends in China, Europe and the Middle East, a
    Read More
  • Italian equipment sales remain strong to Q3 2018
    January 10, 2019
    Italian construction machinery exports reached nearly €2.2 billion for the first nine months of 2018, up 6.2% on the same period 2017. Imports were also up, rising 14.4% to hit €710 million, according to the latest surveys made available by the SaMoTer - Prometeia Observatory based on the information input from Unacea, the Italian construction equipment manufacturers’ association. Italian-built earthmoving machinery and equipment took the largest share of orders from abroad, worth more than €1 billio
    Read More

Highlighted Content