Ponsse increased its operating profit - dividend on the rise
The Finnish company Ponsse reported a significant rise in operating profit and net income, despite a slight decline in overall revenue.
Ponsse, a Finnish manufacturer of forest machines, has reported a more than 13% increase in operating profit over the past year, with net income more than doubling compared to the previous year. The company's revenue during the reporting period remained nearly unchanged, amounting to 749.9 million euros, just slightly below the 750.4 million euros recorded in the previous year. Operating profit climbed to 41.6 million euros, improving from 36.8 million euros the previous year, with the operating profit margin also increasing to 5.6% from 4.9%.
For the full fiscal year, Ponsse recorded a net income of 30.5 million euros, a sharp increase from 12.5 million euros reported in the prior year. The earnings per share rose significantly, more than doubling to 1.09 euros from 0.45 euros. Despite this positive overall performance, the last quarter of the year posed challenges for Ponsse. Between October and December, the company's revenue fell to 219.5 million euros from 223.5 million euros in the same period the previous year.
Looking ahead, Ponsse anticipates that its euro-denominated operating profit will remain stable in 2026 at a level similar to that of 2025, projected to be around 41.6 million euros. This forecast presents a cautiously optimistic outlook for the company, especially amidst the mixed performance in the final quarter, indicating the need for strategic adjustments as they steer through potential market challenges ahead.