Outlook for 2014

Ramirent revised its full year 2014 outlook on 16 December 2014

The updated Ramirent outlook is:

“Ramirent’s fourth quarter 2014 net sales are expected to decline moderately compared to fourth quarter 2013. Contingency actions are being undertaken and the full year 2014 EBITA will be further impacted negatively by restructuring measures and write-downs of approximately EUR 4 million in the fourth quarter 2014. Full year 2014 capital expenditure on non-current assets, excluding acquisitions, is expected to be approximately 10% lower than in 2013.”

The previous Ramirent outlook was:

“The economic growth in 2014 is expected to be modest and construction market demand remains mixed in our core markets. Ramirent will maintain strict cost control and, for 2014, capital expenditure is expected to be around the same level as in 2013. The strong financial position will enable the Group to continue to address profitable growth opportunities.”

Ramirent will release its full year 2014 results on 12 February 2015.



6 November 2014 Interim report Q3 2014

Market outlook for 2014

According to a forecast published by Confederation of Finnish Construction Industries (RT) in October 2014, the Finnish construction market is expected to decrease by 2.0% in 2014. New residential start-ups will decline considerably compared to the previous year. Demand for non-residential construction is expected to remain stable supported by healthy activity in public sector building projects. Renovation is forecasted to increase as a result of government stimulus measures and increasing need of renovations. The Confederation of Finnish Industries (EK) expects industrial investments to increase slightly in 2014, supported by investments in the energy sector. According to a forecast published by European Rental Association (ERA) in October 2014, the Finnish equipment rental market is expected to decrease by 1.6% in 2014.

According to a forecast published by Swedish Construction Federation (BI) in October 2014, the Swedish construction market is expected to increase by 11.0% in 2014. Forecasts predict residential construction to increase significantly compared to the previous year. Non-residential construction is expected to grow markedly in 2014. Construction activity within infrastructure construction is forecasted to grow slightly and mainly in the Stockholm and Gothenburg areas. Due to a continuously expanding and ageing building stock, renovation is expected to grow also in 2014. According to a forecast published by ERA in October 2014, the Swedish equipment rental market is expected to grow by 1.0% in 2014.

According to a forecast published by Prognosesenteret in October 2014, the Norwegian construction market is expected to grow by 1.0% in 2014. In 2014, new residential construction is forecasted to decline while infrastructure construction is to remain active supported by government grants to railway and metro projects. Market activity in renovation is expected to remain stable in all construction sectors. According to the Norwegian Oil and Gas association, investments in the oil and gas sector are forecasted to be close to last year’s level in 2014. Slow market activity in the residential construction sector as well as overcapacity in the equipment rental market is expected to impact negatively on the rental market in the fourth quarter. According to a forecast published by ERA in October 2014, the Norwegian equipment rental market is expected to grow by 2.0% in 2014.

According to a forecast published by Danish Construction Industry (DB) in October 2014, the Danish construction market is expected to grow by 2.5% in 2014. Volumes in residential construction are estimated to pick up, however from low levels. Market activity in non-residential construction is expected to improve mainly due to increasing construction of buildings for education and health as well as a gradual upturn in the general economic situation. Renovation is expected to increase supported by healthy demand from all construction sectors. Infrastructure construction is forecasted to grow fuelled by several new transport projects and energy investments. According to a forecast published by ERA in October 2014, the Danish equipment rental market is expected to grow by 0.7% in 2014.

According to a forecast published by Euroconstruct in June 2014, the construction market in the Baltic States is expected to be slightly below last year’s level. The construction market is estimated to increase in Lithuania by 3% and to decrease in Latvia by 2% and in Estonia by 7%. Residential construction in the Baltic States is estimated to grow supported by new building start-ups and improving consumer confidence. Non-residential construction is expected to recover in Latvia and Lithuania during 2014. The market in infrastructure construction is at a lower level due to a transition period in EU funding. High activity in the energy sector will support the Baltic equipment rental markets in 2014.

A significant near-term risk is the prolongation and expansion of the Ukrainian crisis. According to a forecast published by Euroconstruct in June 2014, the Russian construction market is projected to decrease at some 1% in 2014. In Russia, residential construction is estimated to remain close to last year’s level and non-residential construction is forecasted to decline. The market situation remains challenging in Ukraine.

In 2014, the Polish construction market is estimated to grow by 4.2% according to a forecast published by Euroconstruct in June 2014. Construction activity is expected to pick-up in Poland especially within residential and infrastructure construction. However, several large projects are being completed and there is a lack of new large projects starting in the short-term. The market situation in renovation is estimated to remain stable. New power plant and shale gas projects in the energy sector support demand in 2014. According to a forecast published by ERA in October 2014, the Polish equipment rental market is expected to grow by 1.5% in 2014. In the Czech Republic, the construction market is expected to decrease by 3.8% this year. In Slovakia the construction volume is estimated to increase by 1.7% supported by residential and infrastructure construction.

RAMIRENT OUTLOOK FOR 2014 UNCHANGED

The economic growth in 2014 is expected to be modest and construction market demand remains mixed in our core markets. Ramirent will maintain strict cost control and, for 2014, capital expenditure is expected to be around the same level as in 2013.  The strong financial position will enable the Group to continue to address profitable growth opportunities.



29 July 2014 Interim report Q2 2014

Market outlook for 2014

According to a forecast published by Euroconstruct in June 2014, the Finnish construction market is expected to grow by 0.8% in 2014. Residential construction is estimated to decline during this year as new residential start–ups will decline considerably compared to the previous year. Activity in non–residential construction is expected to pick up supported by several large upcoming construction projects. Renovation is forecasted to increase as a result of government stimulus measures and increasing need of renovations. Confederation of Finnish Industries (EK) expects industrial investments to increase slightly this year, supported by higher investment activity in the energy sector.

According to a forecast published by Euroconstruct in June 2014, the Swedish construction market is expected to increase by 4.4% in 2014. Residential construction is estimated to increase markedly compared to the previous year. Non–residential construction is expected to grow slightly in 2014. The government’s new transport infrastructure plan will fuel the construction activity in railway and road construction, especially in the Stockholm and Gothenburg areas. Due to a continuously expanding and ageing building stock, renovation will continue to grow also in 2014. Market activity in several industrial sectors is expected to develop positively.

According to a forecast published by Euroconstruct in June 2014, the Norwegian construction market is expected to grow by 0.4% in 2014. New residential construction will decline clearly due to the general uncertainty in the sector. Infrastructure construction is going to remain active mainly due to a major leap in government grants to railway and metro projects. Market activity in renovation is expected to remain stable in all construction sectors. According to the Norwegian Oil and Gas association, investments in the oil and gas sector are forecasted to be close to last year’s level in 2014. The slow market activity in the residential construction sector as well as overcapacity in the equipment rental market will impact negatively on the rental market in the second half of the year.

According to a forecast published by Euroconstruct in June 2014, the Danish construction market is expected to grow by 2.5% in 2014. Volumes in residential construction are estimated to pick up, however from low levels. Market activity in non-residential construction is expected to improve mainly due to increasing construction of buildings for education and health as well as a gradual upturn in the general economic situation. Renovation is expected to increase supported by healthy demand from all construction sectors. Infrastructure construction is forecasted to grow fuelled by several new transport infrastructure projects and energy investments.

According to a forecast published by Euroconstruct in June 2014, the construction market in the Baltic States is expected to be slightly below last year’s level. The construction market is estimated to increase in Lithuania by 3% and to decrease in Latvia by 2% and in Estonia by 7% according to Euroconstruct. Residential construction in the Baltic States is estimated to grow supported by new building start–ups and improving consumer confidence. Non–residential construction is expected to recover in Latvia and Lithuania during 2014. The market in infrastructure construction will weaken markedly due to a transition period in EU funding. The overall demand for equipment rental in the construction sector is anticipated to remain at a healthy level. High activity in the energy sector will support the Baltic equipment rental markets in 2014.

Significant risks include the expansion of the Ukrainian crisis and severe economic sanctions implemented by the EU. According to a forecast published by Euroconstruct in June 2014, Russian construction market is projected to decrease at some 1% in 2014. In Russia, residential construction is estimated to remain close to last year’s level as non-residential construction is forecasted to decline about 5% in 2014. However, there are a lot of potential shopping centre projects coming to the market. The market situation is likely to remain challenging in Ukraine.

Construction activity is expected to pick up in Poland especially within residential and infrastructure construction. However, several large projects are being completed and there is a lack of new large projects starting in the short-term. The market situation in renovation is estimated to remain stable. In 2014, the Polish construction market is estimated to grow by 4.2% according to a forecast published by Euroconstruct in June 2014. New power plant projects in the energy sector will support demand in 2014. In the Czech Republic, the construction market is expected to decrease by 3.8% this year. The Slovakian construction market is forecasted to recover supported by residential and infrastructure construction. In 2014, the construction market is expected to increase by 1.7% in Slovakia.


RAMIRENT OUTLOOK FOR 2014 UNCHANGED

The economic growth in 2014 is expected to be modest and construction market demand remains mixed in our core markets. Ramirent will maintain strict cost control and, for 2014, capital expenditure is expected to be around the same level as in 2013.  The strong financial position will enable the Group to continue to address profitable growth opportunities.


8 May 2014 Interim report Q1 2014

Market outlook for 2014


According to a forecast published by Confederation of Finnish Construction Industries (RT) in April 2014, the Finnish construction market is expected to decrease by 1.0% in 2014. Residential construction is estimated to decline during this year as new residential start–ups will remain below the long-term average. Activity in non–residential construction is expected to pick up slightly supported by some major construction projects. Construction of public sector buildings and renovation is forecasted to increase moderately in 2014. Confederation of Finnish Industries (EK) expects industrial investments to increase slightly this year, supported by higher investment activity in the energy sector.

According to a forecast published by the Swedish Construction Federation (BI) in March 2014, the Swedish construction market forecast was raised and the market is expected to grow by 5.0% in 2014. Residential construction and infrastructure construction are estimated to be the main growth drivers. Non–residential construction is expected to remain at the previous year’s level. Due to a continuously expanding and ageing building stock, renovation will continue to grow also in 2014. Market activity in several industrial sectors is expected to develop positively.

According to a forecast published by Prognosesenteret in March 2014, the Norwegian construction market forecast was lowered and the market is now expected to grow by 0.2% in 2014. Prognosesenteret expects residential start−ups to decline clearly in 2014. Market activity in renovation is expected to remain stable in all construction sectors. The Norwegian government’s plan to improve transport infrastructure will support infrastructure construction. According to the Norwegian Oil and Gas association, investments in the oil and gas sector are forecasted to remain close to last year’s level during 2014. Decelerating market activity in the construction sector will impact negatively on the rental market in the first half of the year.

According to a forecast published by the Danish Construction Industry (DB) in February 2014, the Danish construction market is expected to grow by 3.2% in 2014. Volumes in the residential construction are estimated to pick up, however from low levels. Market activity in non-residential construction is expected to improve slightly, mainly due to increasing new construction activity in the public building sector and a gradual upturn in general economic situation. Renovation is expected to increase supported by demand from the public sector where repair needs remain high. Infrastructure construction is forecasted to grow fuelled by several new transport infrastructure projects and energy investments.

According to a forecast published by Euroconstruct in December 2013, the construction market in the Baltic States is expected to be slightly below last year’s level. The construction market is estimated to increase in Lithuania and to decrease in Latvia and in Estonia. Residential construction is estimated to grow supported by new building start–ups and improving consumer confidence. Market activity in non–residential construction is expected to improve slightly in 2014. The market in infrastructure construction will weaken markedly due to a transition period in EU funding. Demand for equipment rental in the construction sector is anticipated to remain at a healthy level. Strong activity in the energy sector will support the Baltic equipment rental markets in 2014.


Significant risks include the expansion of the Ukrainian crisis and severe economic sanctions implemented by the EU. These measures would have stronger effects on the near-term economic outlook for Russia and Ukraine. Euroconstruct forecasts that the Russian construction market will grow by approximately 2% in 2014, with a long-term positive market outlook. Equipment rental is expected to grow more than construction. The forecasts do not account for the effects of the Ukrainian crisis. The market situation is likely to remain challenging in Ukraine.

Construction activity is expected to pick up in Poland especially within residential and infrastructure construction. The market situation in renovation is also expected to improve. The Polish construction market is estimated to grow by 3.5% according to a forecast published by Euroconstruct in December 2013. New power plant projects in the energy sector will support the demand in 2014. In the Czech Republic, all construction sectors are expected to decline in 2014. The Slovakian construction market is supported by an improving outlook for infrastructure construction.

Ramirent outlook for 2014 unchanged

The economic growth in 2014 is expected to be modest and construction market demand remains mixed in our core markets. Ramirent will maintain strict cost control and, for 2014, capital expenditure is expected to be around the same level as in 2013.  The strong financial position will enable the Group to continue to address profitable growth opportunities.


17 February 2014 Interim Report Q4 2013

Market outlook for 2014

According to a forecast published by Euroconstruct in December 2013, the Finnish construction market is expected to increase by 0.5% in 2014. Residential construction is estimated to decline during this year as construction companies have been cautious in new residential start–ups. Activity in non–residential construction is expected to pick–up slightly supported by gradually recovering commercial building. Construction of public sector buildings is forecasted to increase in 2014. Renovation is estimated to increase modestly. According to the Technical Research Centre of Finland (VTT), equipment rental market in Finland is estimated to grow by 3.0% in 2014.

According to a forecast published by Euroconstruct in December 2013, the Swedish construction market is expected to increase by 1.6% in 2014. Residential construction is estimated to be the main growth driver. Non–residential construction is expected to remain at the previous year’s level. Due to a continuously expanding and ageing building stock, renovation will continue to grow also in 2014. Market activity in several industrial sectors is expected to develop positively. According to European Rental Association (ERA), equipment rental market in Sweden is estimated to grow by 2.3% in 2014.

Uncertainty in the Norwegian construction market has increased and the market is levelling out, albeit at a high level. According to a forecast published by Euroconstruct in December 2013, the Norwegian construction market is forecasted to grow by 3.6% in 2014. Prognosesenteret expects residential start−ups to decline in 2014 due to the general uncertainty in the economy. Market activity in renovation is expected to remain favourable in all construction sectors. The Norwegian government has introduced plans to improve transport infrastructure which will support the equipment rental market. According to Statistics Norway, investments in the oil and gas sector are forecasted to increase, which will fuel demand for equipment rental. According to European Rental Association (ERA), the equipment rental market in Norway is estimated to increase by 3.6% in 2014. However, increased uncertainty in the construction sector may impact negatively on the rental market in the first half of the year.

The construction market is estimated to recover in 2014. According to a forecast published by Euroconstruct in December 2013, the Danish construction market is expected to grow by 3.3% in 2014. Residential construction is estimated to pick–up considerably, however from low levels. Market activity in non-residential construction is expected to

improve, mainly due to a gradual upturn in general economic activity. Renovation is expected to increase supported by demand from the public sector where repair needs remain high. Infrastructure construction is forecasted to grow fuelled by new transport infrastructure and energy investments. According to the European Rental Association (ERA), theequipment rental market in Denmark is estimated to grow by 1.9% in 2014.

According to a forecast published by Euroconstruct in December 2013, the construction market in the Baltic States is expected to be slightly below last year’s level. The construction market is estimated to increase in Lithuania and to decrease in Latvia and in Estonia. Residential construction is estimated to grow supported by new building start–ups. Market activity in non–residential construction is expected to improve slightly in 2014. The market in infrastructure construction will weaken markedly due to a transition period in EU funding.

According to a forecast published by Euroconstruct in December 2013, the Russian construction market is estimated to grow by 2% in 2014. The equipment rental market is estimated to grow more than construction. The market situation in Ukraine is likely to remain challenging. The market outlook for Russia is positive over the long term. Construction in Russia continues to be strongly focused on new construction.

RAMIRENT OUTLOOK FOR 2014

The economic growth in 2014 is expected to be modest and construction market demand remains mixed in our core markets. Ramirent will maintain strict cost control and, for 2014, capital expenditure is expected to be around the same level as in 2013. The strong financial position will enable the Group to continue to address profitable growth opportunities.

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