CARGOTEC CORPORATION, STOCK EXCHANGE RELEASE, 27 MARCH 2020 AT 4:15 PM (EET)
Cargotec lowers its 2020 financial outlook and withdraws its guidance for 2020, gives a new guidance later
Cargotec updates its outlook for 2020 due to the coronavirus pandemic and related political decisions and administrative restrictions. In the current exceptional situation Cargotec estimates that it is not able to give a guidance for the year 2020.
Restrictions set by the authorities related to the coronavirus pandemic, as well as the increasing uncertainty, have slowed the decision making among customers and negatively affected Cargotec's orders and delivery schedules. There are risks associated with the timing of the current order book deliveries, and the visibility is weak.
Previous guidance (given on 6 February 2020): Cargotec expects its comparable operating profit for 2020 to improve from 2019 (EUR 264 million).
Cargotec has initiated measures to adjust its cost structure. The measures include the objective of shifting the management and office workers to a four-day working week with a corresponding reduction in salaries, subject to local legislation; a reduction of external services, as well as minimising travel. Cost structure adjustments will continue as the situation requires.
Cargotec publishes a new guidance at a later date.
For further information, please contact:
Mikko Puolakka, Executive Vice President and CFO, tel. +358 20 777 4105
Hanna-Maria Heikkinen, Vice President, Investor Relations, tel. +358 20 777 4084
Cargotec (Nasdaq Helsinki: CGCBV) enables smarter cargo flow for a better everyday with its leading cargo handling solutions and services. Cargotec's business areas Kalmar, Hiab and MacGregor are pioneers in their fields. Through their unique position in ports, at sea and on roads, they optimise global cargo flows and create sustainable customer value. Cargotec's sales in 2019 totalled approximately EUR 3.7 billion and it employs around 12,500 people. www.cargotec.com
