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As of 1 January 2025, Hiab has two reporting segments, Equipment and Services. Reporting of the new segments commences in this January–March 2025 interim report. Hiab published its reclassified financial information of reportable segments and Group administration for all quarters of 2024, as well as for the full year 2024 on 28 March 2025.

The Equipment reporting segment comprises of new equipment: loader cranes, forestry and recycling cranes, truck mounted forklifts, demountables and tail lifts.

The Services reporting segment comprises of spare parts, maintenance, accessories, installations, digital services and refurbished equipment.

Additionally, Hiab reports operating profit information related to its Group administration. This reflects former Cargotec's continuing operations administration and support functions' costs and certain administration and support functions' costs previously booked in the former Hiab business area.

The reclassified financial information is unaudited.

Hiab's key figures

*Hiab’s eco portfolio criteria has been revised. The comparison periods have not been restated.
**Comparative information for operative return on capital employed has been restated to include continuing operations Group administration costs.

Hiab’s key figures*

Among the below presented key figures, all include both continuing and discontinued operations.

*Due to MacGregor business area's classification as discontinued operations, suspended depreciation and amortisation starting from 1 January 2025 had a positive EUR 1.8 million impact on the presented result figures before taxes and EUR 1.6 million positive impact on the result after taxes during Q1/25. Due to Kalmar business area's classification as discontinued operations, suspended depreciation and amortisation starting from 1 February 2024 had a positive EUR 6.6 million impact on the presented result figures before taxes and EUR 4.9 million positive impact on the result after taxes on Q1/24 and a positive EUR 17.9 million impact on the presented result figures before taxes and EUR 13.4 million positive impact on the result after taxes on 2024. Comparative information is not restated accordingly.
**Last 12 months’ EBITDA

Hiab’s President and CEO Scott Phillips: New chapter as a standalone company started, profitability continued to improve driven by strong execution in all divisions

The first quarter was a historic one for Hiab. After more than 80 years of pioneering, Hiab became a standalone stock listed company. The quarter was also characterised by intensified trade tensions. Despite that, the quarter was one of the best in Hiab’s history, with stable order intake, record-high comparable operating profit margin and strong cash generation.

Hiab became a standalone company after Cargotec’s successful transformation, a milestone marking a new chapter for Hiab

Hiab’s entry to Nasdaq Helsinki on 1 April follows Cargotec’s Annual General Meeting’s resolution on 26 March to change Cargotec’s name to Hiab. With the company transformation and the name change, the shareholders of former Cargotec have shown their belief in Hiab’s future growth. We are proud of this trust and aim at generating strong cash flow and sustainable value for our shareholders, solidifying our position as the leader in the load handling industry. I truly believe that Hiab is a unique asset on Nasdaq Helsinki with a strong track record, a clear strategy focused on profitable growth, and a motivated and experienced leadership team in place.

Orders received remained stable for the tenth quarter in a row, market uncertainty elevated due to the increased trade tensions

Our orders received amounted to EUR 378 (Q1/24: 386) million in the first quarter, a stable level for the tenth quarter in a row. Due to the increased trade tensions and lower equipment utilisation, our customers delayed their decision making in the Americas, whereas demand improved in other regions. Looking forward, we estimate that, due to trade tensions, the uncertainty of global growth outlook continues to be elevated. However, there are positive demand signs in some of the European markets. We also see continuing positive momentum in our defence logistics business.

Strong execution of commercial and supply chain actions led to improved profitability despite sales remaining at the level of the comparison period

I’m pleased to see that our strong focus on executing our strategy is bringing results. Our sales were approximately at the comparison period’s level and amounted to EUR 411 (415) million. Strong execution of our strategy by all of our divisions as well as success in commercial and supply chain actions brought our comparable operating profit margin to a record-high level of 16.0 (14.8) percent of sales. Comparable operating profit increased to EUR 66 (61) million. This was also the first quarter we reported our Equipment and Services profitability separately. Equipment’s comparable operating profit margin was 15.7 (14.6) percent and Services’ 23.7 (22.9) percent.

Robust cash flow and net cash position support our growth ambitions

Our cash flow from operations excluding finance items and taxes amounted to EUR 127 million in the first quarter including both continuing and discontinued operations. In addition to good profitability, we were able to reduce our net working capital. At the end of the quarter, continuing operations net cash position amounted to EUR 117 million, which would be further strengthened after the closing of the sale of MacGregor. Closing of the transaction is expected to occur by 1 July 2025 at the latest. The cash impact is estimated to be approximately EUR 220 million at the closing. The very strong balance sheet position supports our organic and inorganic growth ambitions.

Our outlook for 2025 is unchanged and we continue to execute our strategy to reach our 2028 targets

Following the strong performance in the quarter, our confidence to reach the 2028 financial targets has further increased. Our 10-year average annual sales growth was at the target level of 7 percent, last twelve months’ comparable operating profit margin increased to 13.7 percent and operative ROCE to 29.6 percent. Despite the ongoing trade tensions we continue to execute our strategy to reach our long-term targets. We have in the past few years demonstrated a strong track record navigating in different demand environments supported by operational excellence, asset light operating model and our very strong balance sheet. We keep our 2025 outlook unchanged: we estimate continuing operations’ comparable operating profit margin in 2025 to be above 12.0 percent (2024: 13.2). The outlook sets the floor level for our 2025 profitability and reflects the limited visibility to second half sales in a volatile and uncertain operating environment.

Reporting segments’ key figures

Orders received

Order book

Sales

Operating profit

Comparable operating profit

Comparable operating profit, %

Telephone conference for analysts, investors and media

A live international telephone conference for analysts, investors and media will be arranged on the publishing day at 10:00 a.m. EEST. The event will be held in English. The report will be presented by President and CEO Scott Phillips and CFO Mikko Puolakka. The presentation material will be available at www.hiabgroup.com by the latest 9:30 a.m. EEST.

To ask questions, please join the teleconference by registering via the following link:
https://palvelu.flik.fi/teleconference/?id=50052227. After the registration, the conference phone numbers and a conference ID to access the conference will be provided. Questions can be presented during the conference.

The event can also be viewed as a live webcast at https://hiab.events.inderes.com/q1-2025. The conference call will be recorded and an on-demand version of the conference will be published on Hiab’s website later during the day.

Please note that by dialling into the conference call, the participant agrees that personal information such as name and company name will be collected.

For further information, please contact:

Mikko Puolakka, CFO, tel. +358 20 777 4000
Aki Vesikallio, Vice President, Investor Relations, tel. +358 40 729 1670

Hiab (Nasdaq Helsinki: HIAB) is a leading provider of smart and sustainable on road load-handling solutions, committed to delivering the best customer experience every day with the most engaged people and partners. Globally, Hiab is represented on every continent through its extensive network of 3,000 own and partner sales and service locations, enabling delivery to over 100 countries. The company's continuing operations sales in 2024 totalled approximately EUR 1.6 billion and it employs over 4,000 people. www.hiabgroup.com

¹ Hiab’s eco portfolio criteria has been revised. The comparison periods have not been restated.
² Includes discontinued operations.

Attachment

• Hiab's interim report January–March 2025