Atlas Copco Group - Record orders and healthy profitability despite supply chain constraints

April 28, 2022

  Nacka, Sweden: Mats Rahmstrom, President and CEO of the Atlas Copco Group, comments on the report for Q1 that was released .

  'The demand for the first quarter was better than we expected, and the order intake was on record levels for all business areas,' said Mats Rahmstrom. 'Despite new uncertainties in the world, supply chain constraints, higher costs for components as well as new COVID-19 outbreaks, we delivered a healthy profit.'

  The demand for Atlas Copco's products and services increased considerably compared to the previous year and exceeded the already high level of the fourth quarter last year. Order volumes for the service business continued to grow.

  Orders received in the first quarter grew to MSEK 40 379 (30 468), an organic growth of 23%. Despite disruptions in the supply chain, revenues increased 7% organically to MSEK 30 086 (26 021). Operating profit increased 25% to MSEK 6 749 (5 387), corresponding to a margin of 22.4% (20.7). Adjusted operating profit, excluding items affecting comparability, was MSEK 6 525 (5 649), corresponding to a margin of 21.7% (21.7). The return on capital employed was 27% (23).

  Looking ahead, in the near-term, although the world's current economic development makes the outlook uncertain, Atlas Copco expects that the customers' activity level will remain high, but weaken compared to the very high level in the first quarter.

  'We plan for different scenarios, and we continue to focus on delivering value to our customers in form of leading technologies and sustainable innovations,' said Mats Rahmstrom.


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