Wacker Neuson Posts Lower Profits Amid Weak Market Environment

Wacker Neuson SE reports significant profit declines for fiscal 2024. Despite lower revenues and challenging market conditions, the company optimistically outlooks fiscal 2025, expecting better performance.

Date: 26-03-2025

AI Rating: 4

Profit and Revenue Summary
Wacker Neuson SE reported a considerable reduction in profits for fiscal 2024, posting a net income of 70.2 million euros, a dramatic fall from 185.9 million euros a year ago. This stark drop indicates a challenging year for the company, primarily attributed to a 16 percent decline in revenue, from 2.65 billion euros to 2.23 billion euros.

The company’s earnings per share (EPS) also faced a sharp decline, dropping by 62 percent from 2.73 euros to 1.03 euros. This decrease in EPS suggests that investors may have to reassess their expectations regarding the company’s financial health.

Profit Margins and EBIT
Wacker Neuson's EBIT for the year also reflected a 55 percent downturn, posting 122.5 million euros compared to 273.2 million euros in the previous year. The EBIT margin dipped significantly from 10.3 percent to 5.5 percent, further emphasizing the struggles the company has faced.

Future Outlook
Looking towards fiscal 2025, the company expressed a positive outlook, forecasting revenues between 2.10 billion euros to 2.30 billion euros and anticipating an EBIT margin of 6.5 percent to 7.5 percent. This cautious optimism might indicate to investors that despite current struggles, potential recovery is on the horizon.

Furthermore, the proposed dividend of 0.60 euros per share reflects a decrease from last year’s 1.15 euros, which could affect investor sentiment moving forward. If the company can meet its 2025 outlook, it may gradually restore investor confidence.

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