Ponsse’s consolidated net sales for 1 January – 30 September 2024 amounted to Euro 526.9 million, which is 9% less than in 1 January – 30 September 2023. International business operations accounted for 74.1% of net sales.
Net sales were regionally distributed as follows: Nordic countries and the Baltics 46.1%, Central Europe and Southern Europe 22.8%, North America 13.4%, South America 15.1% and Asia, Australia and Africa 2.5%.
The operating profit amounted to Euro 19.1 million. The operating profit equalled 3.6% of net sales for the period under review. For the period 1-6/2024, the operating profit included a cost of Euro 18.6 million related to the Brazilian Full Service contract, of which the impact of the realised loss was Euro 8.4 million and the change in the provision related to the fulfilment of obligations under the contract was Euro 10.2 million. For the period 7-9/2024, the provision was reversed against realised losses by Euro 2.6 million, meaning that the Full Service contract had no impact on the operating profit of the 3Q. Overall, the Brazilian Full Service contract’s impact on profit for the period under review was Euro 15.9 million. The contract is fixed-term and will expire at the end of 2026.
Order intake for the period totaled Euro 493.9 million, while period-end order books were valued at Euro 199.1 million.
President and CEO Juho Nummela said: “Economic uncertainty and challenges in the forest industry continued to affect the demand for PONSSE forest machines. During the past quarter, the busy season of trade fairs and customer events around the world brought a momentary boost to order flows. In the third quarter, we achieved a normal level of order flow compared to the corresponding quarters and orders received were a pleasant Euro 157.9 million. The company's order book at the end of the period was Euro199.1 million.
However, our order book is spread over a longer period and there are clear signs that the market is calming down. Our customers' working conditions are reasonably good around the world, but investment activity has declined. The same situation can be observed in the demand for used machines. The weakening market situation is reflected in a reduction in the order book and order flow, which means that the Ponsse factory will have to adjust to the demand situation during the rest of the year. The operational performance of the factory is excellent and the availability of parts is generally good”.
Ponsse Plc is a company specialising in the sales, manufacture, servicing and technology of cut-to-length method forest machines.
