EPIPF - Epiroc AB (publ) (EPOKY) Q4 2023 Earnings Call Transcript
2024-01-24 12:16:13 ET
Epiroc AB (publ) (EPOKY)
Q4 2023 Earnings Conference Call
January 24, 2024, 8:00 AM ET
Company Participants
Karin Larsson - Vice President, Investor Relations and Media
Helena Hedblom - President and Chief Executive Officer
Hakan Folin - Chief Financial Officer
Conference Call Participants
Klas Bergelind - Citi
Andrew Wilson - JPMorgan
John Kim - Deutsche Bank
Christian Hinderaker - Goldman Sachs
Nick Housden - RBC Capital Markets
Vlad Sergievskiy - Barclays
Gustaf Schwerin - Handelsbanken
Presentation
Karin Larsson
Hello and a warm welcome to the Epiroc Q4 Results Presentation. My name is Karin Larsson, Head of Investor Relations and Media here at Epiroc. With me to present the results, I have our CEO, Helena Hedblom; and our CFO, Hakan Folin. As always, we will have a brief presentation and then we will have time for Q&A after the presentation.
So, Helena, over to you. Thank you.
Helena Hedblom
So a warm welcome also from my side. So let's start with a few words on the full year. So 2023 was an intense year defined by major achievements and partnerships. So overall our order intake increased 11% to SEK59.3 billion, supported by a strong mining business while the demand from construction customers decreased.
In the year, we won several large orders from customers that have been customers or shall I say, partners, of Epiroc for many years. And one example is the largest order we ever received, SEK700 million, which was from Kamoa Copper in the Democratic Republic of Congo. And this order shows the importance of consistent commitment and delivery on the service side. And as you know, we focus a lot on improving and strengthening our service presence.
And every quarter, we open up new service workshops at or close to customer sites and we also work hard to safeguard high availability of parts and consumables for our customers. And this service commitment led to more equipment orders and growing consumables business in 2023.
On the automation side, we had a particularly strong development, so we won several large orders and the interest for mixed fleet automation was higher than ever before. So by using our solutions for mixed fleet, our customers can strengthen productivity significantly on machines produced by other manufacturers. And as you know, we acquired Remote Control Technologies, RCT, in December last year and it is growing strongly, which further strengthens our market leadership in the automation space.
So all-in-all, acquisitions contributed with 9% to the order growth in 2023. The acquired businesses within electrification are also growing well and many of them are enabling businesses, which in short, means that the solutions we bring help customers get the battery electric vehicles to perform their best....
Epiroc AB (publ) (EPOKY) Q4 2023 Earnings Call Transcript