Atlas Copco Releases Q3 Results

October 24, 2005 — Atlas Copco, Stockholm, Sweden, recently reported record sales and profits for another quarter of 2005.

 

“Atlas Copco stands stronger than ever with four very solid business areas,” says Gunnar Brock, President and CEO, speaking about his company's third quarter performance. “Our market positions have been further strengthened, and all product lines have been growing.”

Orders received were up 25 percent, to MSEK (million Swedish Krona) 14 257 (11 418) in the quarter — an increase of 15 percent in volume for comparable units. Revenues reached MSEK 13 479 (11 325) — up 10 percent in volume. The operating profit increased 31 percent, and the margin ended at a new all-time high — 19.0 percent (17.3). Profit after financial items was up 33 percent to MSEK 2 470 (1 851), a margin of 18.3 percent (16.3).

For some time now, the company has been making substantial investments to increase its presence and penetration in the equipment sales and aftermarket areas. “The market investments are now starting to pay off in terms of strengthened competitive positions and good volume growth,” Brock says.

The rental service business area had a record high utilization rate and has further improved efficiency. “Rental Service will capitalize on its robust position and focus on developing the RSC Equipment Rental brand into the leading brand in the industry on the North American market,” Brock says.