Wacker Neuson SE Revises 2024 Guidance Amid Weak Demand

Munich, July 17, 2024 – Wacker Neuson SE announced a revision of its guidance for the fiscal year 2024. The adjustment comes in response to continued weak demand in the construction and agricultural machinery markets, coupled with high inventory levels and an uncertain economic outlook. Market demand has not rebounded as anticipated earlier in the year, leading to low order intake and revenue levels.

The Executive Board now anticipates revenues between EUR 2,300 million and EUR 2,400 million, down from the previous forecast of EUR 2,400 million to EUR 2,600 million. The EBIT margin is expected to range from 6.0 to 7.0 percent, revised from the earlier prediction of 8.0 to 9.0 percent. Investments for the year are projected to be around EUR 100 million, a decrease from the initial estimate of EUR 120 million. The net working capital ratio at year-end 2024 is now expected to be around 34 percent, up from the previous 30 percent prediction.

Preliminary figures for the second quarter of 2024 show a revenue of EUR 611.7 million, a 12.5 percent decline from last year's EUR 698.7 million. Preliminary EBIT stood at EUR 46.9 million, down 47.2 percent from EUR 88.9 million in 2023. For the first half of 2024, the company's preliminary revenue was EUR 1,204.8 million, an 11.8 percent decrease compared to EUR 1,365.9 million last year. EBIT for the same period dropped 52.6 percent to EUR 83.8 million, resulting in a 7.0 percent EBIT margin, down from 12.9 percent in 2023.

Investments reached EUR 48.3 million in the first half of 2024, compared to EUR 69.2 million the previous year. As of June 30, the net working capital ratio was 37.0 percent.

Final results for the first half of 2024 will be published on August 13, 2024.