Stockholm, Sweden, April 27, 2005: Today, Atlas Copco reported strong growth and record profit margins in its first quarter. “It is truly encouraging to begin a year with such strong results,” says Gunnar Brock, President and CEO.
“Orders received grew 17% and all business areas contributed strongly to the results, across all regions. It is also a real highlight to have an operating margin of 15.6% in what is usually the toughest quarter of the year.”
Orders received for the first quarter were MSEK 11 990 (10 278), a volume growth of 8%. Revenues increased 16% to MSEK 11 168 (9 595), up 10% in volume. The operating margin increased to 15.6% (13.8). Profit after financial items improved 35% to
MSEK 1 665 (1 231), a margin of 14.9% (12.8).
“Among the achievements are orders coming both from new application areas, such as the large order for turbo compressors from the liquefied natural gas market, as well as important orders from industries and for applications where we are well established, for example orders for industrial tools from the motor vehicle industry and from the general industry.”
During the first quarter, Atlas Copco completed a number of acquisitions within its strong core-competence areas. “The acquired companies Scanrotor, GSE tech-motive, Lifton, and BIAB Tryckluft are all relatively small, but they fit 100% with our growth strategy.”
In the near-term, demand for Atlas Copco’s products and services is expected to remain at the current high level.
For further information please contact:
Mattias Olsson, Investor Relations Manager
+46 (0)8 743 8291 or +46 (0)70 518 8291
Annika Berglund, Senior Vice President Communications
+46 (0)8 743 8070 or +46 (0)70 322 8070
Atlas Copco is an international industrial Group with its head office in Stockholm, Sweden. In 2004, the Group had revenues of approximately BSEK 49, with 98% of revenues outside Sweden. The Group has more than 25 000 employees. The Group produces and markets compressed air equipment and generators, construction and mining equipment, industrial tools, and assembly systems and offers related service and equipment rental. The Atlas Copco Group includes famous brands such as Atlas Copco, RSC Equipment Rental, and CP. More information can be found on atlascopco.com.