Ponsse Plc Stock Exchange Release - Half-year Report 12.8.2025 at 9.00 AM (EEST)
PONSSE'S INTERIM REPORT FOR 1 JANUARY - 30 JUNE 2025
April-June:
- Net sales amounted to EUR 172.3 (188.0) million
- Operating profit totalled EUR 7.4 (-0.6) million, equalling 4.3 (-0.3) per
cent of net sales
January-June:
- Net sales amounted to EUR 357.7 (357.7) million
- Operating profit totalled EUR 20.6 (0.6) million, equalling 5.7 (0.2) per cent
of net sales
- Net result was EUR 16.1 (-11.7) million
- Earnings per share were EUR 0.58 (-0.42)
- Order books stood at EUR 192.5 (210.4) million at the end of the period under
review
- Cash flow from business operations was EUR 4.6 (25.4) million
- Equity ratio was 60.1 (52.8) per cent at the end of the period under review
- The company's euro-denominated operating profit is estimated to be slightly
higher in 2025 than in 2024 (EUR 36.8 million)
PRESIDENT AND CEO JUHO NUMMELA:
The forest machine market performed reasonably well in the second quarter. Our
order intake totalled EUR 177.2 million. The order flow for new machines was
ultimately slightly weaker than during the first quarter. At the end of the
period, the company's order books stood at EUR 192.5 (210.4) million.
Persisting uncertainty in tariff policies and the challenging geopolitical
situation continued to affect market dynamics. Uncertainty continued, and the
forest machine market was slightly calmer than usual. It is hoped that the trade
agreement signed between the EU and the United States after the second quarter
will help stabilise the situation and reduce uncertainty. Among the markets,
Finland and Sweden performed well, with additional support from major Central
European markets, driven by renewed momentum in Germany and France.
Our net sales decreased slightly, amounting to EUR 172.3 (188.0) million in the
second quarter. A year-on-year decline in new machine deliveries had a negative
impact on net sales. The sales of used machines grew slightly, and net sales
from maintenance services remained at a good level, supported by our customers'
reasonably good workload situation. Ponsse's technology company Epec was on a
growth path during the past quarter.
Our operating profit was reasonable during the second quarter, and our relative
profitability was 4.3 (-0.3) per cent. The operating profit fell short of the
targets due to lower-than-expected net sales. Active measures to reduce costs
progressed as planned.
Cash flow in the review period was EUR 4.6 (25.4) million. Stock levels have
increased slightly since the turn of the year in terms of both used and new
machines. The company's solvency remained very good. Ponsse's self-sufficiency
continued to develop favourably.
Ponsse is currently celebrating its 55-year history with an anniversary tour
that started in Finland in early 2025. The tour has continued in the United
States and Central Europe throughout the summer, and we are particularly excited
about the upcoming autumn events celebrating the 55th anniversary. Together with
our customers, we are celebrating the first 55 years of Ponsse in more than ten
countries around the world throughout the year.
NET SALES
Consolidated net sales for the period under review amounted to EUR 357.7 (357.7)
million, which is the same as in the comparison period. International business
operations accounted for 75.7 (72.8) per cent of net sales.
Net sales were regionally distributed as follows: Nordic countries and the
Baltics 45.5 (47.5) per cent, Central and Southern Europe 23.7 (22.5) per cent,
North America 14.3 (13.1) per cent, South America 14.3 (14.4) per cent and Asia,
Australia and Africa 2.2 (2.5) per cent.
PROFIT PERFORMANCE
The operating profit amounted to EUR 20.6 (0.6) million. The operating profit
equalled 5.7 (0.2) per cent of net sales for the period under review. The impact
on profit of the Brazilian Full Service contract for the period under review was
EUR -2.6 million. There is a provision of EUR 10.6 million on the Group's
balance sheet for a loss-making contract. The contract is fixed-term and will
expire at the end of 2026. In the comparison period the operating profit
included an expense of EUR 18.6 million related to the Brazilian Full service
contract, of which the impact of realized loss was EUR 8.4 million and the
change in the provision related to the fulfilment of contractual obligations
amounted to EUR 10.2 million.
Consolidated return on capital employed (ROCE) stood at 10.8 (-2.4) per cent.
Staff costs for the period under review totalled EUR 62.8 (58.0) million. Other
operating expenses stood at EUR 41.1 (55.6) million. The cost impact of the loss
-making Full Service contract of the Brazilian subsidiary is included in other
operating expenses. The net total of financial income and expenses amounted to
EUR -0.4 (-8.4) million. Exchange rate gains and losses due to currency rate
fluctuations were recognised under financial items, having a net impact of EUR
0.5 (-6.1) million. During the period under review, EUR 0.3 million of
revaluation profits on interest rate swaps were recognised in the result. The
parent company's receivables from subsidiaries stood at EUR 140.6 (144.1)
million net. Receivables from subsidiaries mainly consist of trade receivables.
Result for the period under review totalled EUR 16.1 (-11.7) million. Diluted
and undiluted earnings per share (EPS) came to EUR 0.58 (-0.42).
STATEMENT OF FINANCIAL POSITION AND FINANCING ACTIVITIES
At the end of the period under review, the total consolidated statements of
financial position amounted to EUR 541.7 (568.5) million. Inventories stood at
EUR 236.9 (240.7) million. Trade receivables totalled EUR 51.2 (62.2) million,
while cash and cash equivalents stood at EUR 46.2 (53.9) million. The EUR 3
million receivable related to sale of all Ponsse's shares in its Russian
subsidiary, OOO Ponsse matured in March 2025. The payment period for the
receivable has been extended to December 2025. Group shareholders' equity stood
at EUR 323.4 (298.9) million and parent company shareholders' equity (FAS) at
EUR 304.6 (293.0) million. The amount of interest-bearing liabilities was EUR
68.3 (102.7) million. The company has ensured its liquidity by credit facility
limits and commercial paper programs. Group's loans from financial institutions
are non-collateral bank loans without financial covenants. Consolidated net
liabilities totalled EUR 22.1 (48.8) million, and the debt-equity ratio (net
gearing) was 6.8 (16.3) per cent. The equity ratio stood at 60.1 (52.8) per cent
at the end of the period under review.
Cash flow from operating activities amounted to EUR 4.6 (25.4) million. Cash
flow from investment activities came to EUR -9.8 (-11.0) million.
ORDER INTAKE AND ORDER BOOKS
Order intake for the period under review totalled EUR 361.7 (336.0) million,
while period-end order books were valued at EUR 192.5 (210.4) million.
DISTRIBUTION NETWORK
With focus on sales and maintenance, the organisation is divided into five
market areas: 1) Nordic countries and the Baltics; 2) Central and Southern
Europe; 3) South America; 4) North America; and 5) Asia, Australia and Africa.
R&D AND CAPITAL EXPENDITURE
Group's R&D expenses during the period under review totalled EUR 12.6 (12.3)
million, of which EUR 3.9 (5.1) million was capitalised.
Investments during the period under review totalled EUR 9.9 (11.3) million. In
addition to capitalised R&D expenses, they consisted of investments in buildings
and ordinary investments in machinery and equipment.
PERSONNEL
The Group had an average staff of 2,055 (2,113) during the period under review
and employed 2,101 (2,112) people at the end of the period.
SHARE-BASED INCENTIVE PLANS
The Board of Directors of Ponsse Plc approved two new Ponsse Group's share-based
incentive plans for the Group's CEO and key employees in 2023. A stock exchange
release regarding the incentive plans was published on 3 March 2023. The aim of
the new plans is to align the objectives of the shareholders and plan
participants for increasing the value of the company in the long-term, to retain
the participants at the company and to offer them competitive reward schemes
that are based on earning and accumulating the company's shares. The Board of
Directors of Ponsse Plc decided on new performance periods of share-based
incentive plans in April 2025 and published a stock exchange release about them
on 25 April 2025.
The CEO Performance-Based Share Ownership Plan
The CEO plan consists of five performance periods, calendar years 2023, 2023
-2024, 2023-2025, 2024-2026 and 2025-2027. A restriction period is included in
performance periods 2023 and 2023-2024, which begins from the reward payment and
ends on 31 December 2025. The matching reward will be paid by the end of May
2024, 2025 and 2026. The matching shares delivered as a matching reward cannot
be transferred during a restriction period that will end on 31 December 2025, 31
December 2026 and 31 December 2027. The performance-based reward will be paid by
the end of May after the end of each performance period.
In year 2025, a total of 5,301 shares worth EUR 145,155 were paid for the 2024
performance period, with a cost impact of EUR 0.3 million for the company. A
stock exchange release concerning these was issued on 30 June 2025.
During the performance period 2025-2027 of the CEO Performance-Based Share
Ownership Plan, the rewards are based on the group's operating result, revenue,
personnel satisfaction and injury frequency (LTIF). The amount of rewards to be
paid based on the performance period 2025-2027 will correspond to an approximate
maximum total of 50,000 Ponsse Plc shares, including also the portion to be paid
in cash (gross reward). The matching shares delivered as a matching reward
cannot be transferred during a restriction period that will end on 31 December
2027. The performance-based reward will be paid by the end of May 2028.
The payment of rewards under both the conditional and performance-based
shareholding plans requires that the person's employment relationship continues.
Key Employee Performance-Based Matching Share Plan
The key employees' plan consists of three performance periods, each lasting for
three calendar years: 2023-2025, 2024-2026 and 2025-2027. The prerequisite for
participating in the performance period and receiving the reward is that the key
employee participating in the plan acquires shares in the company at the
beginning of the performance period. Ponsse delivers matching shares for the
performance period in a 2:1 ratio: the key employee receives one (1) additional
share for every two (2) shares they have acquired. The conditional reward will
be paid in 2023, 2024 and 2025 after the acquisition of the investment shares
and confirmation of the reward, as soon as practically possible. Shares received
as conditional rewards may not be transferred during the restriction periods
ending on 31 December 2025, 31 December 2026 and 31 December 2027. The
performance-based reward will be paid by the end of May following the end of
each performance period. The portion of the maximum reward to be paid to a
participant is determined based on the achievement of the targets set for the
earning criteria in relation to the investment made by the participant. The
target group includes key employees, including the members of the Group
Management Team, with the exception of the CEO.
The rewards for the 2023-2025 performance period of the key employees' matching
share plan are based on the Group's operating result, net sales and employee
satisfaction. The accident frequency rate has been added to the terms of the
2024-2026 and 2025-2027 performance periods. The rewards to be paid for the
2025-2027 performance period are estimated to correspond to no more than 60,000
Ponsse Plc shares (net reward). In addition, the company will pay the taxes and
statutory social security contributions incurred by the participants in
connection with the payment of the rewards. During the period under review, the
costs related to the 2023-2025, 2024-2026 and 2025-2027 performance periods of
the share based incentive plans amounted to a total of EUR 0.5 million.
For the performance periods that started in 2023, 2024 and 2025, the total cost
impact of the share-based incentive plans for the CEO and key employees is
estimated to be around EUR 4.6 million for 2023-2027.
SHARE PERFORMANCE
The company's registered share capital consists of 28,000,000 shares. The
trading volume of Ponsse Plc shares for 1 January - 30 June 2025 totalled
457,078, accounting for 1.63 per cent of the total number of shares. Share
turnover amounted to EUR 11.5 million, with the period's lowest and highest
share prices amounting to EUR 19.55 and EUR 30.00, respectively.
At the end of the period, shares closed at EUR 27.10, and market capitalisation
totalled EUR 758.8 million.
At the end of the period under review, the company held 4,635 treasury shares.
ANNUAL GENERAL MEETING
A separate release was issued on 8 April 2025 regarding the authorizations given
to the Board of Directors and other resolutions at the AGM.
SUSTAINABILITY
Ponsse has determined key sustainability targets for its business operations.
Their implementation is promoted through annual function-specific targets and
measures as part of the company's strategy process. Ponsse works to improve its
people's well-being, create innovative sustainable solutions that respect
nature, develop its operations without burdening nature, and be a reliable
partner that values community.
During the second quarter, Ponsse carried out a climate risk assessment to
identify risks and opportunities caused by climate change for its business
operations, covering both transition and physical risks. In connection with the
assessment, the company drew up climate scenarios for the first time, in
accordance with the recommendations of the Task Force on Climate-related
Financial Disclosures (TCFD). Based on the climate scenario analysis, material
risks related to the company's industry and areas of operation were identified
and assessed, and the potential impacts of different climate-related development
pathways on the company's and our customers' business operations were examined.
At the end of the second quarter, Ponsse published its first separate Code of
Conduct for dealers and contractual service partners, along with related
training. The guidelines are based on the company's Code of Conduct, which was
updated at the beginning of the year. The Code of Conduct applies to all
employees of the Group and, where applicable, to people, companies and entities
outside Ponsse when they work with Ponsse or on Ponsse's behalf.
Ponsse Finland's non-discrimination plan and the related measures were discussed
in the Group's cooperation management team. Key measures in the review period
included diversity training, which was targeted at employees in production and
human resources in particular. This training will continue in the second half of
the year, targeted at the company's management and supervisors. The company made
significant progress in safety, and its accident frequency rate (LTIF) was 7.4
(12.3) at the end of the review period. The most important measures to promote
safety work included the introduction of the Foundations of Safety operating
model and training globally. Active monitoring and communication regarding
safety have further reinforced the safety culture.
In addition, training was provided to production personnel on how to improve
waste recycling and reduce the amount of waste generated. The training was based
on updated waste management guidelines introduced in the second quarter. The
implementation of these guidelines began in the company's production and
maintenance service operations in Finland. The guidelines will be extended to
Ponsse's country organisations during the second half of the year.
In the second quarter, Ponsse introduced an ESG system to support sustainability
data management and sustainability reporting. The system will also enable
automated carbon dioxide emission calculations in the future.
The Carbon Disclosure Project (CDP) awarded Ponsse a D rating for Water Security
reporting and a C rating for Climate Change reporting (on a scale from A to D-).
The results show that the company recognises the impacts of climate change and
water use on its business operations and takes their significance into account.
KPI Long-term goal Result H1/2025 Result H1/2024 Change, %
Lost Time Injury LTIF 0 7.4 12.3 -39.8%
Frequency (LTIF)
Employee eNPS > 40 32 3 967%
experience
(eNPS)
(on a scale from
-100 to 100)
Voluntary < 7% 9.8% 6.1% n/a
employee
turnover, %
RISK MANAGEMENT
Our risk management is based on the company's values and strategic and financial
goals. The purpose of risk management is to support the company's strategic
objectives and to secure its financial development and the continuity of its
business. Ponsse's management conducts an annual risk assessment that includes
the sustainability risks and opportunities impacting the company's business.
Within them, aspects related to climate change, biodiversity, and resource
efficiency together with digitalisation and technological development are
emphasised.
The purpose of risk management is to identify, assess, and monitor business
-related risks that may impact the realisation of the company's strategic and
financial objectives or the continuity of business. This information is used to
decide what measures will be required to prevent risks and respond to current
risks.
Risk management is part of the company's daily business and has been
incorporated into its management system. Risk management is directed by the risk
management policy approved by the Board of Directors.
A risk is any event that may prevent the company from achieving its objectives
or threatens the continuity of business. A risk may also be a positive event, in
which case the risk is treated as an opportunity. Each risk is assessed on the
basis of its impact and probability. The company's risk management methods
include the avoidance, mitigation, and transfer of risk. Risks may also be
managed by controlling and minimising their impacts.
SHORT-TERM RISK MANAGEMENT
The most significant short-term risks are related to the global geopolitical
situation, relatively weak economic development and uncertainty about the
development of the interest rates on financing. The geopolitical situation is
also reflected in trade policy through possible special tariffs and
protectionism. Financial market disruptions, sanctions and growing cybersecurity
threats are adding to the uncertainty. The risks in the financial market may
increase fluctuations in developing countries' foreign exchange markets, and
continued instability of the global economy and growing financial costs may also
reduce the demand for forest machines.
In this challenging situation, Ponsse's strong financial position is important.
In terms of financing, Ponsse has carried out all measures necessary to ensure
business continuity, and its financing situation is regularly assessed. The key
objective of the company's financial risk management is to ensure liquidity and
manage interest rate and currency risks. The company's financial position and
liquidity have remained strong as a result of binding credit limit facilities
agreed with several financial institutions. The impact of interest rate risks is
reduced by means of credit linked to different reference rates, as well as
interest rate swaps. The risk of currency rate fluctuations is partly mitigated
through derivative contracts.
The parent company monitors the changes in the Group's internal and external
trade receivables and the associated risk of impairment. The company has long
-term and extensive service contracts, which may involve operational risks.
Changes taking place in the fiscal and customs legislation in countries to which
Ponsse exports may hamper the company's export trade or reduce its
profitability. Global supply chain disruptions can make it more difficult to
manage PONSSE forest machine production schedules, in addition to tying up more
capital in the company's supply chain and increasing the risks related to
working capital management.
Ponsse has strengthened cybersecurity by further specifying its software update
policy and user manuals. The ability to detect and respond to abnormal activity
in data networks has been improved, and the company's digital services are
regularly tested for cyberattacks in cooperation with an expert partner. The
implementation of the NIS2 Directive on cybersecurity has proceeded on schedule.
OUTLOOK FOR THE FUTURE
The company's euro-denominated operating profit is estimated to be slightly
higher in 2025 than in 2024 (EUR 36.8 million).
Economic uncertainty is expected to continue and affect demand for forest
machinery. The current operating environment is reflected by trade policy, the
geopolitical situation and economic uncertainty in the countries where we
operate.
We will invest in customer relations, focus on strong customer service and
improve our efficiency by introducing consistent and cost-effective practices in
line with our new operating model. Our investments will continue, with a
deliberate focus on new products and digital services, the service network, the
Vieremä factory and sustainability.
The status of the Full Service contract of Ponsse's Brazilian country
-organisation is under close scrutiny.
EVENTS AFTER THE PERIOD
There are no other known events after the end of the reporting period that would
require either adjustments to the information presented for the period under
review or disclosure of additional information.
PONSSE GROUP
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (EUR 1,000)
1-6/25 1-6/24 1-12/24
NET SALES 357,739 357,673 750,427
Increase (+)/decrease (-) in 22,625 12,153 -4,782
inventories of finished goods and work
in progress
Other operating income 4,799 3,343 7,689
Raw materials and services -243,215 -241,253 -475,554
Expenditure on employment-related -62,750 -58,048 -110,199
benefits
Depreciation and amortisation -17,521 -17,708 -36,033
Other operating expenses -41,111 -55,553 -94,793
OPERATING PROFIT 20,566 607 36,755
Share of results of associated -135 200 135
companies
Financial income and expenses -424 -8,373 -15,420
RESULT BEFORE TAXES 20,007 -7,566 21,470
Income taxes -3,867 -4,149 -8,964
NET RESULT FOR THE PERIOD 16,140 -11,715 12,506
OTHER ITEMS INCLUDED IN TOTAL
COMPREHENSIVE RESULT
Translation differences related to -6,123 4,232 7,792
foreign units
TOTAL COMPREHENSIVE RESULT FOR THE 10,016 -7,483 20,298
PERIOD
Diluted and undiluted earnings per 0.58 -0.42 0.45
share
4-6/25 4-6/24
NET SALES 172,313 188,014
Increase (+)/decrease (-) in 21,443 5,175
inventories of finished goods and work
in progress
Other operating income 1,156 1,681
Raw materials and services -126,447 -122,834
Expenditure on employment-related -33,078 -30,212
benefits
Depreciation and amortisation -8,714 -8,981
Other operating expenses -19,314 -33,483
OPERATING PROFIT 7,361 -640
Share of results of associated -108 80
companies
Financial income and expenses -2,223 -4,591
RESULT BEFORE TAXES 5,030 -5,151
Income taxes -3,257 -3,125
NET RESULT FOR THE PERIOD 1,774 -8,276
OTHER ITEMS INCLUDED IN TOTAL
COMPREHENSIVE RESULT
Translation differences related to -3,328 3,246
foreign units
TOTAL COMPREHENSIVE RESULT FOR THE -1,555 -5,030
PERIOD
Diluted and undiluted earnings per 0.06 -0.30
share
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (EUR 1,000)
30 Jun 25 30 Jun 24 31 Dec 24
ASSETS
NON-CURRENT ASSETS
Intangible assets 45,267 51,337 48,177
Goodwill 6,577 6,668 6,535
Property, plant and equipment 110,587 116,616 116,183
Financial assets 376 375 378
Investments in associated companies 786 1,073 1,007
Non-current receivables 708 224 297
Deferred tax assets 9,671 9,294 8,759
TOTAL NON-CURRENT ASSETS 173,973 185,586 181,336
CURRENT ASSETS
Inventories 236,930 240,724 219,123
Trade receivables 51,244 62,240 54,107
Income tax receivables 2,953 937 1,042
Other current receivables 30,482 25,162 23,868
Cash and cash equivalents 46,159 53,860 83,590
TOTAL CURRENT ASSETS 367,767 382,922 381,730
TOTAL ASSETS 541,741 568,508 563,066
SHAREHOLDERS' EQUITY AND LIABILITIES
SHAREHOLDERS' EQUITY
Share capital 7,000 7,000 7,000
Other reserves 4,125 3,892 3,824
Translation differences 17,371 19,934 23,494
Treasury shares -122 -476 -47
Retained earnings 294,985 268,528 292,922
EQUITY OWNED BY PARENT COMPANY SHAREHOLDERS 323,358 298,878 327,193
NON-CURRENT LIABILITIES
Interest-bearing liabilities 62,574 66,888 63,914
Deferred tax liabilities 1,064 -568 1,167
Other non-current liabilities 5,146 6,238 5,147
TOTAL NON-CURRENT LIABILITIES 68,784 72,558 70,228
CURRENT LIABILITIES
Interest-bearing liabilities 5,709 35,813 23,017
Provisions 16,670 24,916 19,238
Tax liabilities for the period 62 3,167 1,569
Trade creditors and other current liabilities 127,157 133,176 121,821
TOTAL CURRENT LIABILITIES 149,599 197,072 165,645
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES 541,741 568,508 563,066
CONSOLIDATED STATEMENT OF CASH FLOWS (EUR 1,000)
1-6/25 1-6/24 1-12/24
CASH FLOWS FROM OPERATING ACTIVITIES
Net result for the period 16,140 -11,715 12,506
Adjustments:
Financial income and expenses 424 8,373 15,420
Change in provisions -2,606 11 151 6,746
Share of the result of associated companies 135 -200 -135
Depreciation and amortisation 17,521 17,708 36,033
Income taxes 3,867 4,149 8,964
Other adjustments 852 -3,094 -1,749
Cash flow before changes in working capital 36,333 26,372 77,785
Change in working capital:
Change in trade receivables and other receivables -4,260 11,405 16,945
Change in inventories -24,534 2,115 22,741
Change in trade creditors and other liabilities 8,235 -5,800 -17,181
Interest received 152 190 1,705
Interest paid -1,375 -2,558 -4,922
Other financial items -1,635 -1,841 -3,292
Income taxes paid -8,335 -4,436 -8,780
NET CASH FLOWS FROM OPERATING ACTIVITIES (A) 4,580 25,445 85,001
CASH FLOWS USED IN INVESTING ACTIVITIES
Investments in tangible and intangible assets -9,855 -11,307 -21,591
Proceeds from sale of tangible and intangible assets 45 309 562
NET CASH FLOWS USED IN INVESTMENT ACTIVITIES (B) -9,810 -10,998 -21,029
CASH FLOWS FROM FINANCING ACTIVITIES
Withdrawal of current loans 0 10,000 35,000
Repayment of current loans -16,672 -26,903 -68,745
Repayment of finance lease liabilities -2,656 -2,568 -5,712
Dividends paid -13,990 -15,400 -15,400
NET CASH FLOWS FROM FINANCING ACTIVITIES (C) -33,317 -34,871 -54,857
Change in cash and cash equivalents (A+B+C) -38,547 -20,424 9,115
Cash and cash equivalents on 1 Jan 83,590 74,002 74,002
Impact of exchange rate changes 1,117 281 473
Cash and cash equivalents on 30 Jun/31 Dec 46,159 53,860 83,590
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (EUR 1,000)
A = Share capital
B = Other reserves
C = Translation
differences
D = Treasury shares
E = Retained earnings
F = Total shareholders'
equity
EQUITY OWNED BY PARENT COMPANY SHAREHOLDERS
A B C D E F
SHAREHOLDERS' EQUITY 7,000 3,824 23,494 -47 292,922 327,193
1 JAN 2025
Comprehensive result:
Net result for the 16,140 16,140
period
Other items included in
total comprehensive
result:
Translation differences -6,123 -6,123
Total comprehensive result -6,123 16,140 10,017
for the period
Direct entries to retained -87 -87
earnings
Transactions with
shareholders
Share Plan 301 301
Dividend distribution -13,990 -13,990
Treasury shares, change -75 -75
*)
Transactions with 301 -75 -13,990 -13,764
shareholders in total
SHAREHOLDERS' EQUITY 7,000 4,125 17,371 -122 294,985 323,358
30 JUN 2025
SHAREHOLDERS' 7,000 3,460 15,702 -463 296,101 321,799
EQUITY 1 JAN 2024
Comprehensive result:
Net result for the -11,715 -11,715
period
Other items included in
total comprehensive
result:
Translation differences 4,232 4,232
Total comprehensive result 4,232 -11,715 -7,483
for the period
Direct entries to retained -457 -457
earnings
Transactions with
shareholders
Share Plan
Dividend distribution -15,400 -15,400
Treasury shares, change 432 -13 419
Transactions with 432 -13 -15,400 -14,981
shareholders in total
SHAREHOLDERS' 7,000 3,892 19,934 -476 268,528 298,879
EQUITY 30 JUN 2024
*) Treasury shares procured for incentive schemes
NOTES TO THE RELEASE FOR THE HALF-YEAR REPORT
The stock exchange release for the half-year report has been prepared observing
the recognition and valuation principles of IFRS, and the requirements of IAS 34
have been complied with. The half-year report has been prepared applying the
same accounting principles as for the annual financial statements dated 31
December 2024, except for the IAS/IFRS standard and interpretation changes that
entered into force on 1 January 2025. These standard and interpretation changes
did not have a material impact on the half-year report.
The figures presented in the stock release have not been audited.
The figures presented in the stock release have been rounded and may therefore
differ from those given in the official financial statements.
Pillar II legislation entered into force in Finland on 1 January 2024. Ponsse
applies the exception of IAS 12 not to record or report deferred tax liabilities
or receivables related to taxes paid on the basis of Pillar II. Ponsse has
assessed possible Pillar II income tax expenses considering the OECD's Safe
Harbour assumptions and transition regulations. Pillar II legislation had no
impact on income taxes in the reporting period. Ponsse estimates that the
jurisdiction to which possible Pillar II additional taxes will apply in the
future is Uruguay.
The company monitors changes in customs policy and continues to analyse the
impact of import duties.
This communication includes future-oriented statements that are based on the
assumptions currently made by the company's management and its current decisions
and plans. Although the management believes that the future expectations are
well founded, there is no certainty that these expectations will prove to be
correct. This is why the results may significantly deviate from the assumptions
included in the future-oriented statements as a result of, among other things,
changes in the economy, markets, competitive conditions, legislation or currency
exchange rates.
1. SEGMENT INFORMATION (EUR 1,000)
The operating segments are based on a geographical division of market areas, and
they are defined based on the reporting used by the Group's top operational
decision-maker. As a result of the new operating model, the Group has changed
its segmentation and the change in reporting structure has affected Ponsse's
financial reporting from the second quarter of 2024 onwards.
OPERATING
SEGMENTS
1-6/2025 Nordic Central and North South Asia, Total
countries Southern America America Australia and
and the Europe Africa
Baltics
Net sales of 242,431 87,152 52,699 51,412 8,200 441,894
the
segment
Revenues -79,633 -2,430 -1,680 -259 -154 -84,155
between
segments
NET SALES 162,799 84,723 51,019 51,152 8,046 357,739
FROM
EXTERNAL
CUSTOMERS
Operating 2,323 6,170 3,524 8,468 106 20,591
result
of the
segment
Unallocated -25
items
OPERATING 2,323 6,170 3,524 8,468 106 20,566
RESULT
DEPRECIATION 14,399 568 580 1,921 54 17,521
AND
AMORTISATION
1-6/2024 Nordic Central and North South Asia, Total
countries Southern America America Australia and
and the Europe Africa
Baltics
Net sales of 245,886 82,216 48,176 52,230 9,017 437,525
the
segment
Revenues -75,912 -1,864 -1,336 -667 -73 -79,852
between
segments
NET SALES 169,974 80,352 46,840 51,563 8,944 357,673
FROM
EXTERNAL
CUSTOMERS
Operating 6,855 7,405 1,299 -14,889 189 859
result
of the
segment
Unallocated -252
items
OPERATING 6,855 7,405 1,299 -14,889 189 607
RESULT
DEPRECIATION 14,444 494 551 2,136 83 17,708
AND
AMORTISATION
30 Jun 25 30 Jun 24 31 Dec 24
2. LEASING COMMITMENTS (EUR 1,000) 2,027 1,150 1,977
3. CONTINGENT LIABILITIES (EUR 1,000) 30 Jun 25 30 Jun 24 31 Dec 24
Guarantees given on behalf of others 2 0 2
Responsibility of checking the VAT 7,739 5,088 8,419
deductions made on real property
investments
Other commitments 294 230 193
TOTAL 8,035 5,317 8,615
4. PROVISIONS (EUR 1,000) Guarantee provision Other provisions Total
1 January 2025 5,620 13,618 19,238
Provisions added 1,104 2,600 3,704
Provisions cancelled -674 -5,577 -6,251
Exchange rate difference 0 -20 -20
30 June 2025 6,050 10,621 16,670
The Group has recognized a provision in the item of other provisions based on a
Full Service contract entered into by the Brazilian subsidiary as the fulfilment
of the contractual obligations is estimated to generate expenses that exceed the
expected economic benefits obtained from the agreement. The provision has been
measured based on the best possible estimate of the expenses arising from the
fulfilment of the obligations on the closing date.
5. DIVIDENDS PAID (EUR 1,000) 30 Jun 25 30 Jun 24
Dividends per share EUR 0.50 13,990 15,400
(EUR 0.55)
6. PROPERTY, PLANT AND 1-6/25 1-6/24
EQUIPMENT (EUR 1,000)
Increase 10,851 12,826
Decrease -16,676 -13,057
TOTAL -5,825 -231
7. RELATED PARTY TRANSACTIONS 1-6/25 1-6/24
Management's employment
-related benefits (EUR 1,000)
Salaries and other short-term 2,835 2,381
employment-related benefits
Benefits paid upon termination 0 0
of employment
Pension liabilities, statutory 656 562
and voluntary pension security
Compensation of the members of 142 141
the Board of Directors
KEY FIGURES AND RATIOS 30 Jun 25 30 Jun 24 31 Dec 24
R&D expenditure, MEUR 12.6 12.3 24.6
Capital expenditure, 9.9 11.3 21.6
MEUR
as % of net sales 2.8 3.2 2.9
Average number of 2,055 2,113 2,083
employees
Order books, MEUR 192.5 210.4 188.6
Equity ratio, % 60.1 52.8 58.7
Diluted and undiluted 0.58 -0.42 0.45
earnings per share
(EUR)
Equity per share (EUR) 11.55 10.67 11.69
Order intake, MEUR 361.7 336.0 706.9
FORMULAE FOR FINANCIAL INDICATORS
Return on capital employed, %:
Result before taxes + financial expenses
--------------------------------------------------------------------------------
-------------------------------------
Shareholder´s equity + interest-bearing financial liabilities (average during
the year) * 100
Average number of employees:
Average of the number of personnel at the end of each month. The calculation has
been adjusted for part-time employees.
Net gearing, %:
Interest-bearing financial liabilities - cash and cash equivalents
--------------------------------------------------------------------------------
---
Shareholders' equity * 100
Equity ratio, %:
Shareholders' equity + Non-controlling interests
------------------------------------------------------------------------
Balance sheet total - advance payments received * 100
Earnings per share:
Net result for the period - Non-controlling interests
--------------------------------------------------------------------------------
---------------------------
Average number of shares during the accounting period, adjusted for share issues
Equity per share:
Shareholders' equity
--------------------------------------------------------------------------------
-------------
Number of shares on the balance sheet date, adjusted for share issues
Order intake:
Net sales for the period + Change in order books during the period
Vieremä, 12 August 2025
PONSSE PLC
Juho Nummela
President and CEO
FURTHER INFORMATION
Juho Nummela, President and CEO, tel. +358 400 495 690
Petri Härkönen, CFO, tel. +358 50 409 8362
DISTRIBUTION
Nasdaq Helsinki Oy
Principal media
www.ponsse.com
Ponsse Plc is a company specialising in the sales, manufacture, servicing and
technology of cut-to-length method forest machines and is driven by genuine
interest in its customers and their business. Ponsse develops and manufactures
sustainable and innovative harvesting solutions based on customers' needs.
The company was established by forest machine entrepreneur Einari Vidgren in
1970, and it has been a leader in timber harvesting solutions based on the cut
-to-length method ever since. Ponsse is headquartered in Vieremä, Finland. The
company's shares are quoted on the Nasdaq Nordic list.