Kalmar (KALMAR) Q4 2024 earnings summary

Executive summary

• Achieved resilient profitability in Q4 and full year 2024, with stable revenues and margins despite a 16% sales decline and challenging market conditions.

• Orders received in Q4 reached EUR 486 million, the highest quarterly volume in two years, up 20% year-over-year, while full-year orders totaled EUR 1,679 million, down 2% year-over-year.

• Board proposed a dividend of EUR 1.00 per Class B share and EUR 0.99 per Class A share for 2024.

• Completed demerger from Cargotec and began trading as an independent company on Nasdaq Helsinki on 1 July 2024.

• Advanced strategy focused on electrification, digitalization, and sustainable growth.

Financial highlights

• Q4 2024 sales were EUR 440 million, down 14% year-over-year; full-year sales were EUR 1,720 million, down 16%.

• Comparable operating profit margin for 2024 was 12.6%, up from 12.4% in 2023, with full-year comparable operating profit at EUR 217 million.

• Services accounted for 33% of sales, and Eco Portfolio for 41% in 2024.

• Return on capital employed (ROCE) for 2024 was 18.7%.

• Cash conversion rate was 104% in 2024.

Outlook and guidance

• Guidance for 2025: comparable operating profit margin expected to be above 12%, with a long-term target of 15% by 2028.

• Modest market growth of 2%-3% expected in 2025 for key indicators such as container throughput and GDP.

• Gradual recovery anticipated in the US distribution segment during 2025.