It seems that Hiab’s potential now carries more weight than the disappointment over MacGregor’s price. Good.
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Exactly. Someone in my inner circle mentioned even before the deal that Hiab’s products are selling fast. The defense forces are also a major customer. Vehicle lifting equipment, forklifts, and plenty of other equipment are needed in every country in the world. Hiab’s 80th anniversary year. I strongly believe in profitable specialization.
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It’s quiet as a felt slipper factory in this thread. Therefore, it would be nice to hear @Erkki_Vesola’s comments on the reseller agreements announced yesterday.
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Hi everyone, Hiab’s new distribution partner for loader cranes and truck-mounted forklifts in the US market is the privately owned Ring Power Corporation (RPC). As a distributor, RPC specializes in Caterpillar earthmoving and construction equipment. Other represented product areas include diesel generators, compressors, heavy cranes, and lighter load handling equipment, to which Hiab’s products also belong. Estimates for RPC’s annual turnover are typically in the range of 1…1.5 billion dollars. Since we do not know how the turnover and the company’s focus are distributed among the mentioned product areas, it is also very difficult to estimate what kind of additional sales potential the distribution agreement represents for Hiab. My rough estimate is in the range of a few tens of millions of euros, or a couple of percent of Hiab’s turnover. In any case, we consider the expansion of the distribution network good news for Hiab. Regards, Eki
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Here is Eki’s latest company report on Cargotec. 
Cargotec/Hiab’s markets are stable, and the same applies to the company’s own revenue and profitability development. Our forecast changes for 2024-2026 are due to the transfer of MacGregor to discontinued operations. However, the valuation picture of the company and the share is currently unclear until the balance sheet structure of the new entity is published, and for the same reason, the suitability of many valuation metrics has temporarily weakened. We estimate, however, that a significant portion of the overvaluation has been removed, and we raise our recommendation to ‘reduce’ (previously ‘sell’) with the previous target price of 51.00 euros.
Quoted from the report:
Cargotec emphasized that the balance sheet after the sale of MacGregor will be very strong, and the company again hinted at the possibility of an extraordinary dividend distribution. However, assessing the situation is made difficult by the fact that a comparable pro forma balance sheet from the end of 2023 has not yet been presented.
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Here are Eki’s comments on Hiab’s recent orders.
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Here are Eki’s comments on Volvo’s results, regarding matters of interest to those following Cargotec (and Kesla).
Volvo Group published its Q4 report this morning and updated its forecast for the 2025 heavy truck market outlook. Volume forecasts for the main markets remain unchanged, meaning a slight decrease from 2024 is expected. Indications for Cargotec/Hiab and Kesla, who supply vehicle-mounted cranes, are slightly negative.
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Here are Eki’s pre-earnings thoughts ahead of the Q4 results to be published this Wednesday.
Based on the conference call preceding the silent period, the demand situation has continued similarly to Q3. The 2025 guidance will likely point to a comparable EBIT margin at the same level as in 2024. Also, the balance sheet structure of the entity divested of MacGregor interests us. In our opinion, the stock is expensive, but the currently unclear balance sheet structure brings a lot of uncertainty to the valuation.
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And good dividends.
Conditional on the completion of the transaction, Cargotec’s Board of Directors proposes the payment of an additional dividend of EUR 1.57 per B-series share, in addition to the dividend of EUR 1.20 to be paid after the Annual General Meeting.
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Will there be a tough ride, as the operating profit was 41, while Eki expected a good 57, but it didn’t fall that much below the consensus of approx. 50?
EPS in the last quarter was only €0.42, when consensus expected €0.56, and our Eki, who has been skeptical about Cargotec’s valuation, expected €0.66?
Revenue decreased by 8% compared to the reference period, but a decrease was expected, of course.
The order book at the end of the period was 648 (31.12.2023: 799) million euros.
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Eki has already given his quick comment on this Q4.
Cargotec’s Q4 figures, adjusted for a one-off item affecting the result, were roughly in line with our expectations and stronger than the consensus forecast. However, the dividend proposal and especially the subdued 2025 profitability guidance tip the scales in a negative direction. We expect a neutral to negative share price opening.
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Here is a fresh company report from Eki on the Q4 results.
My comment: Cargotec, wonderfully expensive. 
The Q4 figures, when adjusted, were better than consensus expectations, and a strong balance sheet now allows for an additional dividend. Cargotec’s demand outlook is stable, and the margin guidance given for 2025 is cautious, but room was given for it to be raised. Nevertheless, the stock is expensive by all metrics we use. We lower our recommendation to sell and set our target price at EUR 42.00 (previously EUR 51.00).
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SalkunRakentaja’s article on Cargotec quotes OP’s articles and, of course, the company’s own materials. One of the main themes is, of course, the dividend, how else.
According to OP, the recent order intake and financial performance of domestic engineering companies have been positive and better than forecast. However, this development has not yet been reflected in Cargotec’s share price, which has performed weakly since the end of 2024.
According to the bank’s assessment, the company’s new orders are turning to a moderate increase during 2025, which, if realized, would support the share price. New orders are supported, among other things, by the revitalization of industrial confidence in the United States and customers’ need to renew aging equipment.
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Ilkka Sinervä wrote about Dividend-Cargotec.
Subheadings:
- Listed in 2005
- Market value with dividends up over 250 percent
- Quick sales
- Do the share series merge?
- Hiab has a higher market value than Palfinger
- Ambitious goals
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Now that defense industry partners are being hyped on the stock market, Cargotec must be highlighted. A close source reported that they are running three shifts non-stop, and a lot of goods also go to the defense forces. Even the AI knew. Here’s the attachment.
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So, Hiab has a GBO (Government Business Operations) organization, which primarily serves the armed forces of various countries by creating military-tailored versions of commercial products. The German armed forces ordered a whopping 4000 hooklifts, so it’s probably a good reason to be running three shifts to get those done. Those seemed to be the kind that can attach to a container instead of a traditional swap body. According to this article, the Finnish Defence Forces would be getting traditional hooklifts. This could be very profitable business for Hiab, as even in commercial hooklifts, MULTILIFT has no credible competitor, let alone in equipment specifically designed for military use. On the other hand, a player the size of Rheinmetall can naturally have some leverage when negotiating a deal for thousands of units, but at least a large installed base of equipment will be spread globally. Then they can sell consumables and spare parts for them with a nice margin. There also appears to be a moss-green version of MOFFETT available.
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Rest in peace, monitoring.
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What might this mean in plain language: “Coverage ends by Inderes’ decision. In our view, the analysis market is gradually shifting towards a model of target company-paid analysis open to all investors. Due to this and our internationalization strategy, we are focusing our coverage resources on our client companies, a limited number of the largest companies on the Helsinki Stock Exchange, and individual Nordic or international large companies.”
Does this mean that Hiab no longer bought Inderes’ service, or something else?
I read that as Hiab has been under coverage simply because Inderes wanted to cover a comprehensive group of large Finnish listed companies, and Hiab has not paid for it.
Now Inderes has assessed that it should only cover paying client companies and, without a paid client relationship, only very, very large Finnish companies. So, in the current situation, Hiab no longer qualified for the so-called ‘free’ coverage group.
If Hiab had terminated the paid coverage service, it would have been stated directly and briefly. Now, on the contrary, it is stated that the termination is by Inderes’ decision, and it even needs to be somewhat justified.
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Yes, it’s as @P_O_Niemi stated there. Antti elaborated on that earlier in the Konecranes thread. And regarding Hiab’s IR, based on my personal experience, I can say the same about Aki, so feel free to contact them if you need more information about the company 
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