Industrial Trucks & Services segment
Business performance and order intake
The Industrial Trucks & Services segment outperformed the global market trend in almost all sales regions, with the exception of China, in regards to order volume in its new truck business. Whereas the global market declined by 5.2 per cent, unit sales in the segment, at 109.2 thousand, were nearly on a par with the strong figure for the first half of 2018 (down by 1.2 per cent). Of the total number of orders, 62.1 per cent were accounted for by the Linde brand including Fenwick, 30.9 per cent by the STILL brand and the remaining 7.0 per cent by the Baoli and OM Voltas brands. The value of order intake rose by 1.7 per cent to €3,083.7 million (H1 2018: €3,031.6 million). > TABLE 08
Key figures – Industrial Trucks & Services |
08 |
|||||
in € million |
Q2 2019 |
Q2 2018 |
Change |
Q1 – Q2 2019 |
Q1 – Q2 2018 |
Change |
Order intake |
1,573.2 |
1,546.5 |
1.7% |
3,083.7 |
3,031.6 |
1.7% |
Total revenue |
1,638.2 |
1,449.6 |
13.0% |
3,146.8 |
2,818.3 |
11.7% |
EBITDA |
355.5 |
317.0 |
12.2% |
679.4 |
619.3 |
9.7% |
Adjusted EBITDA |
355.3 |
318.0 |
11.7% |
679.3 |
619.0 |
9.7% |
EBIT |
177.8 |
136.1 |
30.6% |
326.3 |
273.2 |
19.4% |
Adjusted EBIT |
177.7 |
148.2 |
19.9% |
326.5 |
284.2 |
14.9% |
|
|
|
|
|
|
|
Adjusted EBITDA margin |
21.7% |
21.9% |
– |
21.6% |
22.0% |
– |
Adjusted EBIT margin |
10.8% |
10.2% |
– |
10.4% |
10.1% |
– |
Revenue
Segment revenue went up by 11.7 per cent to €3,146.8 million (H1 2018: €2,818.3 million), primarily because of the strong growth in new business (up by 17.3 per cent). All product categories saw increases. Revenue from the service business advanced by 6.0 per cent year on year, with all parts of the service business contributing to the growth. As a result of the disproportionately strong growth of new business, the share of external segment revenue accounted for by the service business fell to 47.6 per cent (H1 2018: 50.1 per cent).
Earnings
Adjusted EBIT improved by a significant 14.9 per cent year on year to reach €326.5 million (H1 2018: €284.2 million). At 10.4 per cent, the segment’s adjusted EBIT margin was in double digits again and was higher than the figure for the prior-year period (H1 2018: 10.1 per cent). In the second quarter, the fallout from the bottlenecks at suppliers no longer had any significant impact on segment earnings. After taking into account non-recurring items and purchase price allocation effects, EBIT amounted to €326.3 million (H1 2018: €273.2 million). Adjusted EBITDA rose to €679.3 million (H1 2018: €619.0 million). This equated to an adjusted EBITDA margin of 21.6 per cent (H1 2018: 22.0 per cent).