MAN invests in a company’s future

Posted on 28. Jul, 2015 by in Volkswagen Canada

MAN, a blurb car and automatic engineering player, is addressing a stream cost structures and significantly enhancing potency to improved respond to marketplace fluctuations in a destiny and to say a high rival level. That is because a Company has launched a Group-wide potency program. The module includes reorganizing lorry prolongation and streamlining executive functions during MAN Truck Bus. These measures will essentially entail financial expenses, a largest partial of that was available as supplies in a past quarter. The moving conditions in Brazil continued to have a poignant disastrous impact on a Group’s figures, while a European blurb vehicles marketplace is now flourishing again.

These offsetting developments meant that sequence intake in a Commercial Vehicles business area usually available a assuage decline, dwindling by 3% year-on-year to €5.6 billion. Whereas MAN Latin America saw a sequence intake revoke by 50% year-on-year to €593 million, MAN Truck Bus available a 9% arise in sequence intake to €5.1 billion. Order intake in a Power Engineering business area amounted to €1.9 billion. This also corresponds to a year-on-year decrease of approximately 3%. MAN Diesel Turbo perceived €1.6 billion in new orders, while Renk’s sequence intake was €293 million in a initial 6 months of a year.

At €6.7 billion, a MAN Group’s sales income remained turn year-on-year in a initial half of 2015. MAN Truck Bus generated sales income of €4.4 billion. At MAN Latin America, sales income declined to €593 million. Sales income during MAN Diesel Turbo was adult 11% to €1.6 billion. Renk posted €240 million.

At €15 million, a MAN Group still available an handling distinction in a initial half of 2015 notwithstanding a poignant impact of a diseased mercantile conditions in Brazil and restructuring losses of €170 million during MAN Truck Bus.

Dr. Georg Pachta-Reyhofen, CEO of MAN SE, comments on a total as follows: “It is of march no easy charge to trigger elemental and cost-intensive measures to guarantee destiny expansion in economically formidable times. However, we are assured that we have to act here and now to get MAN in figure for a future.”

The Commercial Vehicles business area generated an handling detriment of €74 million in a initial half of 2015, compared with a €150 million handling distinction in a prior-year period. MAN Truck Bus available an handling detriment of €49 million. Excluding losses incurred for a destiny expansion program, handling distinction would have increasing 53% year-on-year to €121 million. MAN Latin America’s handling detriment widened to €21 million due to a significantly reduce section sales volumes. By contrast, handling distinction in a Power Engineering business area rose to €135 million. MAN Diesel Turbo contributed €93 million and Renk €43 million.

The Executive Board expects tellurian mercantile expansion to sojourn on a turn with a prior year in 2015. The risk factors embody geopolitical conflicts, among others. The sensitivity of currencies of stress to MAN is also a source of uncertainty. In a Commercial Vehicles business area, a Company expects section sales for 2015 to be significantly next a prior year due to a marketplace conditions in Brazil, with sales income descending somewhat brief of a prior-year figure. An handling detriment is approaching here, essentially as a outcome of losses compared with a restructuring module during MAN Truck Bus. As a result, a Commercial Vehicles business area will see a disastrous handling lapse on sales.

The Executive Board expects a Power Engineering business area’s sequence intake for 2015 to be somewhat next a prior-year level, that was dominated by a vital order. Sales income should sojourn roughly unvaried as opposite a prior year. Operating distinction and a handling lapse on sales will urge slightly. Ongoing high rival vigour in a now prosaic markets will continue to have a disastrous impact in 2015. As a consequence, a Management is presumption a aloft single-digit handling lapse on sales.

This means a slight year-on-year decrease in a MAN Group’s sales revenue. Operating distinction will be significantly impacted essentially by restructuring expenses. The handling lapse on sales will some-more than separate year-on-year.

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