Konecranes: Full year sales to slip further16 December 2009
This, Konecranes said, is due to the nature of having a large volume of customer deliveries at year-end, as ‘certain deliveries could fall on either side of the New Year’. The readiness of a customer’s site to receive equipment can also have an effect, Konecranes added.
In its third quarter results, Konecranes estimated that full year sales for 2009 could fall by 17-20% compared to 2008.
“Due to this uncertainty, based on the currently available information, there is a possibility that the full year sales decline will be slightly more than earlier estimated,” the company said.
“The uncertainty is entirely due to the timing of certain deliveries, and there has not been any material increase in order cancellations.”
Konecranes added that its operating margin estimate remains the same, as cost reduction actions are proceeding as planned. This will allow the company to meet its operating margin forecast, despite the possibility of lower sales. Konecranes operating margin forecast is 6.5-7.5% of sales, excluding estimated restructuring costs between EUR17m to EUR22m.