Ramirent's Interim Report January-March 2018: Strong growth and profitability momentum continued

Ramirent Plc                       Interim Report                  May 9, 2018 at 9:00 am


·   Net sales EUR 176.2 (164.6) million, up by 7.0% or 10.5% at comparable exchange rates
·   EBITA EUR 24.0 (16.6) million or 13.6% (10.1%) of net sales
·   EBIT EUR 21.8 (14.6) million or 12.4% (8.8%) of net sales
·   EPS EUR 0.14 (0.08)
·   Comparable ROCE 15.2% (10.8%); ROCE 15.0% (7.6%)
·   Gross capital expenditure EUR 53.3 (41.6) million
·   Cash flow after investments EUR -13.7 (5.2) million


In 2018, Ramirent's comparable EBIT is expected to increase from the level in 2017.

KEY FIGURES (MEUR and %) 1-3/18 1-3/17 CHANGE 1-12/17
Net sales 176.2 164.6 7.0% 723.7
EBITDA 49.0 42.6 15.0% 205.5
% of net sales 27.8% 25.9%   28.4%
Comparable EBITA 24.0 16.6 44.6% 99.01
% of net sales 13.6% 10.1%   13.7%
EBITA 24.0 16.6 44.6% 97.7
% of net sales 13.6% 10.1%   13.5%
Comparable EBIT 21.8 14.6 50.0% 90.61
% of net sales 12.4% 8.8%   12.5%
EBIT 21.8 14.6 50.0% 89.3
% of net sales 12.4% 8.8%   12.3%
Comparable EPS, EUR 0.14 0.08 77.9% 0.592
EPS, EUR 0.14 0.08 77.9% 0.59
Gross capital expenditure 53.3 41.6 27.9% 166.4
Cash flow after investments -13.7 5.2 n/a 51.6
Capital employed, end of period 629.8 614.7 2.5% 654.4
Comparable ROCE, %3 15.2% 10.8%   13.9%2
ROCE, %3 15.0% 7.6%   13.8%
Comparable ROE, %3 25.0% 15.3%   22.0%
ROE, %3 24.7% 9.9%   22.0%
Net debt 351.7 340.6 3.3% 337.9
Net debt to EBITDA ratio 1.7x 1.9x -12.4% 1.6x


"We had a strong start to 2018 with continued growth momentum and strong profit improvement. Our performance was solid on a broad basis with all segments improving their EBIT for the second consecutive quarter. Despite the timing of Easter, we achieved 10.5% comparable organic net sales growth driven by strong development in both rental and service sales. Growth was supported by continued growth investments and available fleet capacity due to the seasonally low utilization that is typical to the business in Q1. Our EBIT increased by 50.0% to EUR 21.8 (14.6) million with the EBIT margin at 12.4% (8.8%). Higher EBIT combined with improved capital efficiency also improved our comparable ROCE to 15.2% (10.8%). We are making solid progress towards our 2020 ROCE-target of 16%. Our EPS increased by 77.9% to EUR 0.14 (0.08).

In Sweden, we saw excellent growth in both rental and service sales resulting in strong profitability improvement. In Eastern Europe, strong sales growth continued with excellent profitability development and in Finland our performance was also good. Denmark and Norway also continued to improve their EBIT. We also saw improvement in internal operations in all segments as per our targets. In summary, I am very pleased with our team's execution of our game plan in the quarter.

The market outlook for 2018 looks favorable across our customer base. With our team's record high engagement and strong execution momentum, we are in a good position to continue to grow capital efficiently while improving our internal operations to serve our customers even better."

Ramirent's market outlook is based on the available forecasts disclosed by local construction and industry associations in its operating countries.

The demand outlook for 2018 looks favorable for equipment rental across Ramirent's diverse customer base and geographies. In Sweden, continued strong momentum in the construction sector is expected to maintain the demand for equipment rental in 2018, although the medium-term outlook is more uncertain and the risk level is elevated. In Finland, market conditions in the equipment rental market are expected to be favorable. In the Baltic countries, Poland, Czech Republic and Slovakia, the market conditions for equipment rental are expected to remain favorable. The Norwegian and Danish equipment rental markets are estimated to be fairly stable.


A briefing for investment analysts and the press will be arranged on Wednesday, May 9, 2018 at 10:30 a.m. Finnish time (EET) through a live audiocast viewable at www.ramirent.com combined with a conference call. The briefing will be hosted by CEO Tapio Kolunsarka and CFO Pierre Brorsson. The dial-in numbers are; FI: +358 981710495, UK: +44 2031940552, SE: +46 856642702, US: +1 8557161597. A recording of the audiocast and teleconference will be available at www.ramirent.com later the same day.


Ramirent observes a silent period during 30 days prior to the publication of annual and interim financial results.

Half Year Financial Report 2018                            August 8

Interim Report January-September 2018              November 7

The financial information in this stock exchange release has not been audited.


Pierre Brorsson, Chief Financial Officer (CFO)
Tel. +46 8 624 9541, pierre.brorsson(at)ramirent.com

Franciska Janzon, SVP, Marketing, Communications, IR
Tel. +358 20 750 2859, franciska.janzon(at)ramirent.com

RAMIRENT is a leading rental equipment group combining the best equipment, services and know-how into rental solutions that simplify customer's business. Ramirent serves a broad range of customer sectors including construction, industry, services, the public sector and households. In 2017, Ramirent Group sales totaled EUR 724 million. The Group has 2,835 employees in 291 customer centers in 10 countries in northern and eastern Europe. Ramirent is listed on the NASDAQ Helsinki (RMR1V). Ramirent - More than machines®.

NASDAQ Helsinki, Main news media, www.ramirent.com  

RAMIRENT Q1 2018 Interim Report web

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