SWITZERLAND: Stadler has announced an increase in orders in the first half of the year, but net profit was down because of currency effects and the company says that supply chain issues mean costs could rise in the future.
Presenting its H1 results on August 31, Stadler said it had received orders of SFr6·0bn, with revenue up 4% to SFr1·5bn, EBIT up 36% to SFr66·8m and a backlog of SFr21·7bn, up 22% from the end of 2021.
Net profit fell to SFr2·4m, compared to SFr26·3m in H1 2021, with the results being impacted by exchange rate losses amounting to SFr32·1m
Stadler said the impact of the coronavirus has now largely normalised, but it admitted that the supply chain situation ‘remains tense’.
The Russian invasion of Ukraine has affected work at the Fanipol plant in Belarus, with international sanctions leading to Stadler transfering orders to sites in the EU and Switzerland. Around 2% of Stadler’s order backlog was being processed at Fanipol before the Febraury invasion, and the plant’s production capacity was less than 10% of total group capacity.
Supply chain disruptions resulting from the ongoing war could lead to a further increase in prices, adding to cost inflation.
Commenting on the results, Executive Chairman & Group CEO Peter Spuhler said the company had ‘delivered outstanding results thanks to an excellent operational performance — despite extremely challenging economic conditions with a combination of inflation, supply chain issues, currency distortions and geopolitical tensions. Over the past two years, we have done our homework and set the course for successful corporate development with improved profitability.’
