Mats Rahmström comments on Atlas Copco’s results for Q1 2018
Stockholm, Sweden, April 25, 2018: Atlas Copco, a leading provider of sustainable productivity solutions, today reported a record order intake and strong profit development. In the near term, the overall demand for the Group is expected to remain at current high level.
Epiroc AB is reported as discontinued operations. The Annual General Meeting decided yesterday to distribute the subsidiary to the shareholders of Atlas Copco and list the company on Nasdaq Stockholm Stock Exchange.
“We had a very strong start of the year”, said Mats Rahmström, President and CEO of the Atlas Copco Group. “Going forward Atlas Copco has an even stronger focus on industrial customers and on creating value through innovative products and service. We are a company that always has embraced change to become even better”.
Orders received for the Atlas Copco Group grew 6% to MSEK 24 829 (23 325), an organic increase of 9%. The revenues increased with 6% to MSEK 21 906 (20 578) an organic increase of 9%. The operating profit margin increased to 22% (21) in spite of negative currency impact. Good order growth was achieved from both equipment and services even though the comparison numbers in the first quarter of last year were high.
“Customer activity was high, and we had good traction for our new products and service offering”, said Mats Rahmström.
The subsidiary Epiroc showed a strong organic order growth and solid profitability in the quarter.
Innovative products launched in the quarter include a dryer for the medical air market that offers low energy costs and helps customers to reduce costly losses of air, a vacuum pump system with innovative multi-claw design and variable speed drive, a TwinPower generator with increased flexibility and less fuel consumption, and a new, low reaction, battery pulse tightening tool.
In the quarter Atlas Copco acquired Location Thermique Service SAS, a French steam boiler specialty rental business, Walker Filtration Ltd., a British manufacturer of equipment for the treatment of compressed air, gas, and vacuum, and the assets of Klingel Joining Technologies, a German company that specializes in flow drill technology. Also in the quarter Atlas Copco completed the divestment of the concrete and compaction business to Husqvarna Group.
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Atlas Copco is a world-leading provider of sustainable productivity solutions. The Group serves customers through its innovative compressors, vacuum solutions, generators, pumps, power tools and assembly systems. Atlas Copco develops products and services focused on productivity, energy efficiency, safety and ergonomics. The company was founded in 1873, is based in Stockholm, Sweden, and has a global reach spanning more than 180 countries. In 2017, Atlas Copco had revenues of BSEK 86 (BEUR 9) and about 34 000 employees. Learn more at www.atlascopcogroup.com.