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• Net Sales: Increased by 18% to approximately EUR1.6 billion.

• Operating Results: Increased by 30% to EUR165 million, representing 10.6% of net sales.

• Comparable Operating Results: Increased by 29% to EUR171 million, representing 11% of net sales.

• Order Book: Reached an all-time high of about EUR8.5 billion.

• Service Order Intake: Increased by 5% to EUR992 million.

• Service Net Sales: Increased by 6% to EUR884 million.

• Equipment Net Sales: Increased by 38% to EUR676 million.

• Cash Flow from Operating Activities: Solid at EUR190 million.

• Order Intake: Decreased by 1% to around EUR1.9 billion.

• Energy Storage Order Intake: Decreased, impacting overall equipment order intake.

• Marine Service Net Sales: Increased by 6%, supported by merchant navy and ferry segments.

• Energy Equipment Order Intake: Increased by 35% for engine power plants.

• Net Interest-Bearing Debt: More negative, indicating good development.

• Earnings Per Share: EUR0.21, better than the previous year.

• Working Capital: Ended at EUR770 million, maintaining a negative level.

• Warning! GuruFocus has detected 7 Warning Signs with FRA:4TS.

Release Date: April 25, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Wartsila Corp (WRTBF) reported a strong first quarter with net sales increasing by 18% to approximately EUR1.6 billion.

• Operating results improved by 30% to EUR165 million, representing 10.6% of net sales.

• The company achieved an all-time high order book of about EUR8.5 billion, indicating strong future demand.

• Service order intake increased by 5%, and service net sales grew by 6%, reflecting robust performance in the services segment.

• Wartsila Corp (WRTBF) introduced the next-generation 46 TS engine, designed to balance renewable energy and improve power plant performance, with the first order already placed by Kazakhstan's Caspian offshore industries.

Negative Points

• Overall order intake decreased by 1% to around EUR1.9 billion, with equipment order intake down 7%, primarily due to lower orders in energy storage.

• The energy storage segment faced challenges, with a slow order intake in Q1 and a concrete impact from US tariffs, leading to a market standstill in the US.

• The marine market experienced a mixed outlook, with a decrease in the number of vessels ordered due to growing uncertainty and geopolitical tensions.

• The company faced increased R&D costs in both the energy and storage segments, impacting profitability.

• National strikes in Finland negatively impacted results in the first quarter, adding to operational challenges.