From the CEO

August 1, 2017

 



ORDER BACKLOG REMAINS STRONG THANKS TO NEW ORDERS

 

We can continue to be pleased with our performance throughout the first half of the year, in terms of both net sales growth and improving our operating profit. Both were in line with our expectations.

Our order intake, at EUR 29 million in the second quarter, was at a good level, bearing in mind that it did not include any major individual projects. Following a quieter period, demand for modernizations also picked up. In terms of new orders, the European market is still exceptionally strong, but projects are also being actively negotiated in North America, Asia and Russia, to name a few. I estimate that in the near future, other market areas will complement the demand in Europe.

Our deliveries proceeded according to plan in the second quarter. Our relative profitability was influenced by the start-up of the Metriguard business that was acquired in early April, additional investments aimed at the Chinese market, and investments in sales and marketing. Our focus on product development and digital services, in particular, also continued.

Our order book has remained strong, which means we will retain our good momentum and our resources will be used at a high capacity also in the second half of the year. Our aim is to deliver the high number of orders scheduled for the latter half of the year on time, successfully and in keeping with the budgeted costs, which will, in turn, improve our relative profitability for the second half of the year. Our recent past serves as proof of our success in such situations. Success also partly comes down to our customers, and we need them to be successful as well.

Thanks to a good start to the year, a strong order book and continued active demand, I am confident that our net sales will clearly grow and our operating profit will clearly improve from the previous year. 

 
 

Tapani Kiiski
President and CEO