Nacka, Sweden, January 29, 2021: Mats Rahmström, President and CEO of the Atlas Copco Group, comments on the interim report for Q4 and full-year summary for 2020 that was released today.
“The solid financial results in the fourth quarter and the full year 2020 are an effect of our constant focus on creating value for our customers, despite the global challenges.” said Mats Rahmström.
The overall demand for Atlas Copco’s products and services improved both compared to the previous year and the previous quarter. Year-on-year order growth was achieved for both equipment and services and in all regions except North America, where the order volumes decreased slightly. During the fourth quarter demand was very strong from the semiconductor industry, but orders also increased in other product categories, like industrial compressors, medical equipment, equipment for automotive applications, supported by increased investments in electrical vehicle and battery production, and power equipment.
Orders received in the fourth quarter grew to MSEK 25 868 (25 625), an organic growth of 7%. Revenues were unchanged organically at MSEK 25 738 (27 319). Operating profit decreased 5% to MSEK 5 373 (5 627), corresponding to a margin of 20.9% (20.6). Adjusted operating profit, excluding items affecting comparability, was MSEK 5 402 (5 913), corresponding to a margin of 21.0% (21.6). The return on capital employed was 23% (30).
“I am proud of our organization where people have the freedom and responsibility to act, adopting to challenges and taking advantage of opportunities,” said Mats Rahmström. “The organization is innovating for a stronger and more sustainable customer offer, increasing the global presence both digitally and physically, and striving for operational excellence in all parts of the company. I am also proud to see that we have made great progress when it comes to achieving our goal for reducing CO₂ emissions by half in 2030.”
The Board of Directors proposes a dividend of SEK 7.30 (7.00), to be paid in two installments.
Looking ahead, in the near-term, although the world’s economic development remains uncertain, Atlas Copco expects that the demand for the Group’s products and services will remain at current level.
Atlas Copco Group Great ideas accelerate innovation. At Atlas Copco we have been turning industrial ideas into business-critical benefits since 1873. By listening to our customers and knowing their needs, we deliver value and innovate with the future in mind.
In 2020, Atlas Copco had revenues of BSEK100 (BEUR 10) and at year end about 40 000 employees.