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Metso Outotec says it received new orders worth EUR 976 million in April-June. MAGAZINE IMAGE / RONI REKOMAA
Technology company Metso Outotec’s adjusted ebita operating profit in April-June was EUR 143 million and net sales EUR 1,047 million. Due to its merger, the company did not publish similar figures last year.
Metso Outotec, which serves aggregates production, mining, metal processing and recycling, was formed at the end of June when Metso’s Minerals business and Outotec merged.
According to President and CEO Pekka Vauramo, April-June was in many ways an exceptional quarter for Metso Outotec’s companies due to the interest rate pandemic.
The company says that it received new orders worth EUR 976 million in April-June. Orders for the quarter increased at Metso Minerals, while slow decision-making related to larger projects led to a decline in Outotec’s orders.
– Demand for new mining equipment was at a good level, while demand for rock crushing equipment was weaker in the first half of the quarter and recovered slightly towards the end of June, Vauramo says in the interim report.
Metso Outotec expects market activity to remain at its current level, but a possible worsening of the interest rate pandemic may change the outlook.
Adjusted ebita operating profit is the company’s result before financial items, taxes and amortization of intangible assets.
Neles’ result dropped
Neles, formed from Metso’s valve business, said its operating profit in April-June decreased to EUR 18 million from EUR 26 million in the corresponding period last year.
The company’s turnover fell to EUR 141 million from EUR 168 million a year earlier.
Olli Isotalo, President and CEO, considered the result to be good, taking into account the fluctuating market situation.
The company estimates that market activity in pulp and paper projects will continue to be good. On the other hand, general economic concerns are expected to weaken the market for oil and gas projects compared to the good level in the first half of the year.
The corona pandemic is expected to continue to cause uncertainty and risks of rapid change in all markets.
In July, the Swedish Alfa Laval made an offer for Neleks. The value of the transaction would be EUR 1.7 billion.