palfinger at a glance

Strategy and Value Management
palfinger at a Glance
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Value Management
At PALFINGER, growth and economic profit are determined by the indicators revenue increase,
EBIT margin, ROCE and net working capital.
The development since 2009 shows a continuation of the positive trend. Revenue increase was
again almost 30 per cent, while at the same time the EBIT margin was stepped up to 8.0 per cent
in 2011. This improvement was primarily shaped by the exceptional growth in the business units
Knuckle Boom Cranes, Timber and Recycling Cranes as well as Hookloaders.
At 15.8 per cent, net working capital as at the balance sheet date in proportion to revenue was
kept at a constant level in 2011, after achieving a significant improvement in 2010. Specific
measures taken to sustainably reduce inventories, receivables and payables, particularly in the
areas North and South America as well as in Asia, have been conducive in this regard.
Due to the enhanced earnings situation, the return on capital employed (ROCE) increased from
7.1 per cent in the previous year to 11.1 per cent.
Value creation in 2011
2009 2010 2011
2009 2010 2011
2009 2010 2011
2009 2010 2011
80%
20%
20%
200
40%
60%
40%
20%
29.0%
29.7%
15%
10%
5%
5.7%
8.0%
15%
10%
5%
7.1%
11.1%
150
100
50
132,876
26.3%
102,602
15.7%
133,899
15.8%
30%
20%
10%
0
0
0
0.0%
0
0%
(20%)
(5%)
(0.6%)
(40%)
(36.4%)
Revenue increase
(in per cent)
EBit margin
(in per cent)
ROCE
(in per cent)
Net working capital
(as at the reporting date)
(EUR thousand)
Net working capital (as at the reporting date)
As percentage of revenue
16 palfinger Annual Report 2011