Cramo's Financial Statements Bulletin for January-December 2017

Vantaa, Finland, 2018-02-09 08:00 CET (GLOBE NEWSWIRE) -- Cramo Plc Financial Statements Bulletin 9 February 2018, at 9.00 am (EET)

Cramo's Financial Statements Bulletin for January-December 2017

Solid organic sales growth and improved profitability in 2017






2017 was the first year executing the Cramo’s new Shape and Share strategy and we took many large steps towards our vision, Shared Resources Simplified. In the beginning of the year, we divided our operations into two stand-alone business divisions, Equipment Rental and Modular Space. As the synergies between the businesses are limited, we decided to further investigate and assess the potential separation of the Modular Space business. The assessment of different strategic alternatives will be carried out during 2018. In 2017, we also executed several transactions following the new strategy and aiming towards a leading position in all Cramo markets. After the fourth quarter, we announced the acquisition of KBS Infra Group, which will strengthen our market position in an important German market. The acquisition is expected to close during Q1/2018 and to be EPS accretive already in 2018.

During the fourth quarter, Group’s organic sales growth accelerated increasing by 6.3% strongly supported by Sweden and we delivered good full-year results with comparable EBITA of EUR 120.0 million, showing an 8.1% increase. Equipment Rental division’s full-year result was strong driven by good market demand; organic sales increased by 4.0% and comparable EBITA improved by 13.2%. In Modular Space, we had a high number of deliveries in the latter part of the year, which resulted in strong sales growth. However, the division’s profitability was burdened by organisational restructuring and additional cost provisions particularly during the fourth quarter. Positive effects are expected to follow in 2018 due to steps taken in forms of reorganisation activities and improved project management. Looking ahead, the outlook for both business divisions is positive and I expect the demand to stay on a good level in 2018.


KEY FIGURES AND RATIOS (MEUR) 10-12/2017 10-12/2016 Change % 1-12/2017 1-12/2016 Change %
Sales 196.7 192.9 2.0% 729.5 712.3 2.4%
Comparable EBITA* 32.4 32.6 -0.6% 120.0 111.1 8.1%
% of sales 16.5% 16.9%   16.5% 15.6%  
EBITA 32.7 28.2 15.8% 120.7 106.7 13.1%
% of sales 16.6% 14.6%   16.5% 15.0%  
Comparable profit for the period* 22.7 22.5 1.0% 83.3 75.6 10.2%
Profit for the period 23.0 15.4 49.6% 84.2 68.6 22.9%
Comparable earnings per share (EPS), EUR* 0.51 0.51 0.9% 1.87 1.70 10.1%
Earnings per share (EPS), EUR 0.52 0.35 49.4% 1.89 1.54 22.8%
ROCE, %       11.9% 10.6%  
Comparable ROCE, %*       11.9% 11.4%  
ROE, %       15.6% 13.6%  
Comparable ROE, %*       15.4% 14.9%  
Net debt / EBITDA       1.65 1.77  
Net interest-bearing liabilities       382.3 387.0 -1.2%
Gross capital expenditure (incl. acquisitions) 54.5 47.8 14.1% 213.9 207.3 3.2%
Cash flow from operating activities 69.7 58.2 19.8% 186.5 172.2 8.3%
Cash flow after investments 19.4 16.8 15.6% 33.1 7.3 351.8%
Average number of personnel (FTE)       2 538 2 550 -0.5%

 Calculation of key figures presented on page 25 in the Financial Statements Bulletin

* Items affecting comparability, see pages 22-23 in the Financial Statements Bulletin




Cramo Group’s full-year consolidated sales totalled EUR 729.5 (712.3) million, showing an increase of 2.4% (3.3% in local currencies). Sales growth was diluted by the divestment of Danish equipment rental operations and Latvian and Kaliningrad operations in August 2017. The Group’s organic sales growth in local currencies was a solid 4.6% supported by both business divisions.

Sales in the fourth quarter increased by 2.0% (2.7% in local currencies) and totalled EUR 196.7 (192.9) million. Organic sales growth was particularly strong in the last quarter and the Group’s organic sales increased by 6.3%. From business segments, especially Equipment Rental Scandinavia, Equipment Rental Finland and Eastern Europe and Modular Space contributed positively to the Group’s organic sales growth.


Cramo Group’s full-year comparable EBITA came to EUR 120.0 (111.1) million, showing an increase of 8.1%. Comparable EBITA margin was 16.5% (15.6%) of sales. Profitability improved mainly due to sales growth and higher gross margin. Full-year EBIT was EUR 117.3 (98.7) million. Net financial expenses were EUR 12.0 (11.8) million. Profit before taxes totalled EUR 105.2 (86.9) million and profit for the period was EUR 84.2 (68.6) million.

Comparable EBITA for the fourth quarter was close to the previous year’s level and amounted to EUR 32.4 (32.6) million or 16.5 (16.9) per cent of sales. Profitability was affected by Group’s periodically lower other operating income and extraordinary costs of EUR 1.4 million in the Modular Space division mainly related to organisational restructuring and additional cost provisions. Fourth-quarter EBIT increased by 33.2% and was EUR 31.8 (23.9) million. EBIT included items affecting comparability to a total of EUR 0.3 million related to gain on sale of Latvian and Kaliningrad operations. In 2016, fourth-quarter EBIT included items affecting comparability to a total of EUR 7.5 million related mainly to impairments in Danish equipment rental operations and Latvian, Lithuanian and Kaliningrad operations. Net financial expenses were EUR 3.1 (3.5) million. October–December profit before taxes totalled EUR 28.7 (20.4) million and profit for the period EUR 23.0 (15.4) million.

Comparable earnings per share for the full financial year were EUR 1.87 (1.70) and earnings per share EUR 1.89 (1.54). Corresponding figures for the fourth quarter were EUR 0.51 (0.51) and EUR 0.52 (0.35) respectively. Return on equity (rolling 12 months) improved and was 15.6% (13.6%). Comparable return on equity (rolling 12 months) was 15.4% (14.9%).


The construction market outlook for the year 2018 is mainly positive in Cramo’s operating countries. Growth is still expected, but in many countries the growth that accelerated in 2017 is estimated to level out. According to the latest Euroconstruct and Forecon estimates, the construction market will grow approximately 3.5% in Sweden and Norway and 1.0–1.5% in Finland, Austria and Germany. For the Czech Republic, Slovakia, Hungary and Poland, Euroconstruct estimates on average 9.3% market growth. Forecon’s construction market growth estimate for the Baltic states is 3.4% and the Russian construction market is expected to grow by 5%.The local Sverige’s Byggindustrier has projected 4% growth for the Swedish construction market in 2018. The Confederation of Finnish Construction Industries increased its estimate in October 2017 and forecasts that the construction market in Finland will grow by approximately 2%. Residential construction in Finland is growing stronger, which sets a positive outlook for 2018.

The European Rental Association (ERA) forecasts that the equipment rental market will grow in all of Cramo’s operating countries that are within the scope of ERA’s forecast in 2018. Forecon estimates the equipment rental market to grow by approximately 5% in Finland, 3% in Sweden and 2% in Estonia and Lithuania in 2018.


Cramo Plc’s goal is to follow a stable profit distribution policy and to pay approximately 40% of earnings per share (EPS) for a period as a dividend. On 31 December 2017, Cramo Plc’s total distributable funds were EUR 190,867,514.68 including EUR 48,369,596.20 of retained earnings. The Board of Directors proposes to the Annual General Meeting that a dividend of EUR 0.85 (0.75) be paid for the financial year 2017. The Annual General Meeting is planned for Wednesday, 28 March 2018.


Cramo will hold a briefing and a live webcast at Kämp Kansallissali, address: Aleksanterinkatu 44 A, 2nd floor, Helsinki, on Friday, 9 February 2018 at 11.00 am. The briefing will be in English. It can be viewed live on the Internet at A replay of the webcast will be available at from 9 February 2018 in the afternoon.


The Annual report containing the full financial statements for 2017 will be published in electronic format in week 10/2018.

Cramo will publish its Half Year Financial Report and two Business Reviews in 2018 as follows:

•  25 April 2018: Business Review for January-March 2018

•  26 July 2018: Half Year Financial Report for January-June 2018

•  26 October 2018: Business Review for January-September 2018

The Annual General Meeting 2018 will take place on Wednesday, 28 March 2018 in Helsinki.



Leif Gustafsson
President and CEO


Further information:

Mr Leif Gustafsson, President and CEO, tel: +358 10 661 10
Mr Aku Rumpunen, CFO, tel: +358 10 661 10, +358 40 556 3546
Mr Mattias Rådström, SVP, Communication, Marketing and Investor Relations, tel: +46 70 868 7045

Nasdaq Helsinki Ltd.
Main media

Cramo is Europe’s second largest rental services company specialising in construction machinery and equipment rental and rental-related services as well as the rental of modular space. Cramo operates in about 300 depots in fourteen countries. With a group staff around 2,500, Cramo's consolidated sales in 2017 was EUR 729.5 million. Cramo shares are listed on Nasdaq Helsinki Ltd.

Read more:,


Cramo Q42017_English.pdf