Palfinger: Decline in profits despite expansion – future strategy 2030+ presented!

Palfinger: Decline in profits despite expansion – future strategy 2030+ presented!

Palfinger, the renowned crane manufacturer from Salzburg, is facing a number of challenges this year. In the first three quarters of 2025, the company suffered a decline in profits of 20.3 percent to 72.4 million euros. Sales also fell by 3.5 percent to 1.68 billion euros SN.at reported. But despite these numbers, there are bright spots: Palfinger expects the decline in earnings to be largely compensated for by an increase in output in Europe in the fourth quarter.

One of the main reasons for the decline is the negative impact of US tariffs on demand and profitability in North America. However, while new orders in the EMEA region remained stable, Latin America and the APAC region enjoyed positive development, particularly due to growth in India. Additional information from börse-social.com show that the Marine division benefited from an attractive market environment, while demand declined in the CIS region.

Strategic realignment

In October, Palfinger presented a new strategy for the coming years aimed at sustainable and profitable growth. The 2030+ strategy is intended to further develop the existing strategy and strengthen the company. The focus is on three key areas: increasing customer value, balanced growth and excellent implementation of business processes, as stated on the company website Palfinger is explained.

A crucial part of this strategy is expansion into the APAC region and North America, where the high-margin service business is to be expanded. In this way, the company also wants to strengthen its capital market presence after increasing the free float to 43.5 percent through the sale of its own shares in the third quarter of 2025. This measure brought in over 100 million euros in proceeds from the issue, which will be invested in strategic growth projects.

Outlook and financial goals

Despite the challenges, Palfinger shows a spirit of innovation and a clear growth path. With an annual target of over 100 million euros and financial targets by 2030 - including sales of over 3 billion euros and an EBIT margin of 12 percent - the company remains optimistic. Free cash flow has improved significantly at 54 million euros, in contrast to minus 1.95 million euros in the previous year. This suggests that Palfinger is strengthening its financial basis in order to be well positioned for the future.

As we continue to monitor the market, it will be exciting to see how the company will overcome its challenges and whether the future-oriented measures will have an impact in the near future. In any case, Palfinger's engineers and managers seem to have a good knack for the business, as they are working flat out on the strategy to strengthen their market position until 2030.