Wärtsilä’s Q3 orders increase by 36%
By Mike Brezonick26 October 2022
Wärtsilä’s saw its third quarter order intake and net sales rise in the third quarter, while operating income fell, largely because of costs related to the ramping down of production at a plant in Italy, the company reported.
Order intake rose 36% in the quarter to €1.616 billion and service order intake increased by 27% to €732 million. Net sales increased by 30% to €1.433 million, of which organic growth was 22%, the company said. Operating result decreased by 87% to € 10 million, which included €75 million in costs related to the ramp down of manufacturing in Trieste, Italy.
Year to date, order intake increased by 24% to €4.436 billion, while net sales increased by 28% to €4.072 billion, the company reported. Operating result decreased by €232 million, which included €200 million in costs related to Wärtsilä’s exit from Russia and the costs associated with Trieste.
“During the third quarter of 2022, uncertainty about economic development and geopolitical tensions continued,” said Håkan Agnevall, Wärtsilä president and CEO. “Intensifying cost inflation, prevailing disturbances in supply chains, tightening monetary policies and challenging macro environment are creating turbulence within the global business environment. Despite the challenging market conditions, we were able to clearly grow our order intake.”
Wärtsilä said it expects the demand environment in the fourth quarter to be weaker than that of the corresponding period in the previous year. “This reflects the fact that order intake in the last quarter of 2021 was at an all-time high,” Agnevall said. “For the full year 2022, the demand is expected to be slightly higher than in the previous year.”
The full interim report is available at www.wartsila.com.