Atlas Copco Posts Earnings Miss, Sees Flat Near-Term Demand
By Dominic Chopping
STOCKHOLM--Atlas Copco fourth-quarter order intake and earnings missed forecasts and the company said it expects near-term customer demand to remain at the current level.
The Swedish industrial tool maker said net profit increased to 6.78 billion Swedish kronor ($620.7 million) in the quarter from SEK6.05 billion a year earlier, as revenue rose 12% to SEK44.95 billion.
Analysts polled by FactSet had expected net profit of SEK7.3 billion on revenue of SEK44.23 billion.
The operating profit margin rose to 20.2% from 19.5%, while the adjusted margin was 22.1% from 20.0%.
Atlas Copco received orders worth SEK36.84 billion in the quarter, missing a FactSet analysts' forecast of SEK39.44 billion.
"The overall demand for the group's equipment and services in the fourth quarter was basically unchanged compared to the previous year, but weaker than in the third quarter," Chief Executive Mats Rahmstrom said.
Overall order intake increased in North and South America, decreased in Europe, and remained unchanged in Asia.
The company lifted its dividend to SEK2.80 from SEK2.30.
Write to Dominic Chopping at dominic.chopping@wsj.com
(END) Dow Jones Newswires
January 25, 2024 06:42 ET (11:42 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.-
What’s Happening in the Markets This Week
-
Worst-Performing Stock ETFs of the Quarter
-
Q3 in Review and Q4 2024 Market Outlook
-
Top-Performing Stock ETFs of the Quarter
-
September Jobs Report Forecasts Show Moderate Hiring Gains
-
Port Strike a Headache for Shippers but a Potential Tailwind for Certain US Transport Stocks
-
13 Charts on Q3′s Roller-Coaster Rally for Stocks and Bonds
-
5 Stocks to Buy Instead of Overpriced US Equities
-
Consumer Defensives: Despite Angst, Thirsty Investors Have Names to Pursue
-
Industrials: Many Stocks Overvalued After Q3 Outperformance
-
Basic Materials: Despite Index Rise, We See Multiple Long-Term Opportunities
-
What the Election Could Mean for Big Tech Stocks
-
3 Lessons From Recent Stock Market Drama
-
Consumer Cyclicals: Even Amid Moderating Consumer Spending, We See Discounts
-
Healthcare: Valuations Look Fair Overall, With Select Industries Still Undervalued
-
Utilities: Falling Interest Rates, Growth Outlook Boosting Stocks