Close

About HUB Industry Portal

The HUB 4 website is an online directory which provides company and product information within the Quarrying, Recycling & Bulk Materials Handling Industries.

Atlas Copco: Third quarter report 2006

Strong value creation – high growth and improved operating profit margins
Note: All figures are for continuing operations, unless otherwise stated.

  • Continued strong growth in all regions and most customer segments.
  • Orders received up 21%, whereof 19% in volume.
  • Revenues reached MSEK 12 538 (10 674), up 15% in volume.
  • Operating profit was MSEK 2 306 (1 781), corresponding to a margin of 18.4% (16.7).
  • Profit before tax increased 16% to MSEK 2 081 (1 800).
  • Profit for the period was MSEK 2 117 (1 709).
  • Basic earnings per share were SEK 3.36 (2.71).
  • Operating cash flow totaled MSEK 434 (1 671).
  • Atlas Copco sells majority stake of the equipment rental business.
  • Start of share repurchases.
  July - September  
  2006 2005 %
MSEK 13,847 11,452 +21
Orders received 12,538 10,674 +17
Operating profit 2,306 1,781 +29
- as a percentage of revenues 18.4 16.7  
Profit before tax 2,081 1,800 +16
- as a percentage of revenues 16.6 16.9  
Profit from continuing operations 1,475 1,272 +16
Profit from discontinued operations, net of tax 642 437  
Profit for the period* 2,117 1,709 +24
Basic earnings per share, SEK* 3.36 2.71 +24
Equity per share, SEK* 45 37  
Return on capital employed, %* 36 26  
* Including discontinued operations. Earnings for Q2 and Q3 do not include deprecation on assets held for sale and the earns for Q2 2006 have thus been restated for the effect of depreciation.

Near-term demand outlook
The demand for Atlas Copco’s products and services, from most customer segments such as mining, construction, and the manufacturing and process industries, is expected to remain at the current high level.