The Finnish group Wärtsilä recorded a 10% increase in incoming orders in the first half of the year. Turnover rose by 7% to just under US$1.6bn.
Order intake rose by 10% to € 3,778m (3,427), which means that organic growth amounted to 15%. Orders totalling € 7.6bn are now on the books. The ratio of incoming orders to sales (book-to-bill) was 1.19 (previous year: 1.16). The operating result increased by 63% to € 176m (108), which corresponds to 11.3% of net sales compared to 7.4% in the same period of the previous year.
In the Marine segment, Wärtsilä expects the demand environment for the next 12 months to be better than in the same period last year. The same applies to the Energy sector.
Wärtsilä sees headwinds for the global economy
“The market environment has remained stable for Wärtsilä’s business areas in the second quarter of 2024, but the headwinds for the global economy continue,” says Håkan Agnevall, President and DEO of Wärtsilä.
In the shipping market, trade flows continue to be severely affected by the sanctions against Russia and the attacks on ships in the Red Sea. Global trade is facing the challenges of longer average transportation distances, higher transportation costs and delays in global supply chains, which have ultimately increased the demand for shipping capacity.
Investments in new ships were significantly higher in the first half of the year than in the same period of the previous year, and the use of alternative fuels remained at a healthy level. Despite a steady increase in shipyard capacity and production, particularly in China and South Korea, prices for new ships remained high, indicating a shortage of shipyard capacity.
The market sentiment has developed positively for Wärtsilä, with increased momentum in our key segments and decarbonisation-related retrofits and longer trade routes supporting services.
