When it comes to profits, the elevator and escalator manufacturer from Central Switzerland is far from the previous year’s figures. However, management radiates confidence and has now become a little more optimistic for the year as a whole.
As the company announced on Thursday, sales rose 0.3 percent in the first nine months to 8.31 billion francs. The growth in local currencies was +1.7%.
Meanwhile, inbound orders fell 0.8 percent to 8.97 billion, and order books recorded 9.93 billion orders at the end of September. In the third quarter alone, there was a decrease of 8.5 percent.
Profitability deteriorated significantly. At EBIT, (adjusted) operating profit fell 22 percent to 738 million. The corresponding margin was 8.9 percent. In the same period of last year, a value of 11.4% was reported. As a result, there was a profit of 481 million, which corresponds to minus 30 percent.
Apart from order taking, Schindler clearly exceeded analysts’ expectations. One reason was the surprisingly high sales growth of 5.6 percent in the third quarter. Overall, company boss Silvio Napoli says we’re on the right track.
The Americas and Europe regions reported growth, while the Asia-Pacific region was negatively affected by the situation in China. The group continues to experience problems with rising material costs.
For the year 2022 as a whole, the group is now a little more optimistic. Sales growth in local currencies is targeted at 0 to +2 percent after -2 percent to +2 percent. In terms of net income, Schindler continues to expect between 620 and 660 million.
(SDA)