Wärtsilä Interim Report January – March 2012

Wärtsilä report offshore and power plant markets supported 13% growth in orders

HIGHLIGHTS OF THE REVIEW PERIOD JANUARY-MARCH 2012


- Order intake increased 13% to EUR 1,109 million (979)
- At the end of the period the order book totalled EUR 4,409 million (3,669), +20%
- Net sales decreased 7% to EUR 1,005 million (1,083)
- Operating result EUR 102 million, or 10.1% of net sales (EUR 113 million and 10.4%)
- Earnings per share 0.33 euro (0.38)
- Cash flow from operating activities EUR 28 million (133)
- The acquisition of Hamworthy became effective on 31 January 2012
 
BJÖRN ROSENGREN, PRESIDENT AND CEO:
"The year has started rather well with order intake increasing by 13%. Our profitability was 10.1% and we are well on track to reach our targets for this year. Our net sales development was in line with our overall expectation of rather low Power Plants and Ship Power deliveries during the first quarter. Services' net sales grew by 12% with the increase coming from both parts and field services. During the first quarter, we signed a service agreement with US-based Prestige Cruise Holdings, as well as an operations & management agreement with Energética Suape II SA in Brazil for the largest power plant ever delivered by Wärtsilä. These contracts signify our commitment to deliver lifecycle value to our customers.
 
The offshore market was active, and we received a repeat order from Harvey Gulf International to supply integrated solutions for two gas fuelled offshore support vessels that will operate in the Gulf of Mexico. Power Plants' major orders included a dual-fuel power plant from Matanuska Electric Association in Alaska, USA and Indonesia's first gas engine peaking plant ordered by PT Perusahaan Listrik Negara.
 
Integration of the recently acquired company Hamworthy is proceeding according to plan and the company is performing better than expected. Our target is to double Hamworthy's net sales within the next five years."