Jungheinrich Raises Forecast for 2021 Due to Strong Demand

Due to a very strong order intake in the first quarter of 2021 and a high demand expected for the remainder of the year, Jungheinrich is raising its forecast for 2021 published on March 26, 2021. For 2021, the current estimate expects between €300 million and €350 million (previously: €260 million to €310 million).

(Hamburg) The management board of Jungheinrich now expects an order intake for the entire year 2021 to be between €4.2 billion and €4.5 billion (previously: €3.9 billion to €4.1 billion). The group revenue is expected to be in a range of €4.0 billion to €4.2 billion due to significant challenges in the supply chain (previously: €3.9 billion to €4.1 billion). The earnings before interest and taxes (EBIT) is expected to be between €300 million and €350 million in 2021 (previously: €260 million to €310 million). Accordingly, an EBIT margin in the range of 7.5 percent to 8.3 percent is expected (previously: 6.7 percent to 7.6 percent). The earnings before taxes (EBT) is expected to reach €280 million to €330 million (previously: €240 million to €290 million). The EBT margin is expected to be between 7.0 percent and 7.9 percent (previously: 6.2 percent to 7.1 percent). The management board anticipates a ROCE value between 17 percent and 21 percent (previously: between 14 percent and 18 percent).

Basis: No extensive lockdown measures

Furthermore, it is expected that Jungheinrich will achieve a net cash position of significantly over €300 million by the end of the fiscal year 2021 (previously: net cash position significantly over €200 million). This updated forecast is based in particular on the assumption that there will be no extensive lockdown measures, including factory closures, during the year and that the company’s supply chains remain intact. We will continue our measures to ensure Jungheinrich’s ability to deliver without restriction. The targets of the Strategy 2025+ published in November 2020 will be fully pursued, and the target figures for 2025 will be reviewed throughout the year.

Strong Start to the First Quarter

Jungheinrich recorded a very strong start to the year 2021. The order intake in the first quarter of 2021 increased by 30 percent to €1,322 million (previous year: €1,016 million). Revenue rose in the same period to €959 million (previous year: €920 million). In a challenging market environment, EBIT improved significantly by 34 percent to €72.1 million (previous year: €53.7 million), also due to the continued consistent cost management. This includes provisions for liabilities in the low double-digit million euro range. The provisions relate to the consideration of higher costs for battery disposal and warranty obligations. The EBIT margin increased to 7.5 percent (previous year: 5.8 percent). EBT amounted to €68.2 million (previous year: €43.5 million). Accordingly, the EBT margin was 7.1 percent (previous year: 4.7 percent). The quarterly report of Jungheinrich AG as of March 31, 2021, will be published on May 7, 2021.
Photo: © Jungheinrich