Metso's Interim Review January 1 - June 30, 2014 - Seite 2

Overall, the second quarter shows that our delivery mix and the strong contribution that comes from our services business enables us to improve profitability even when volumes are lower. The new strategy we published today is designed to increase our focus on our high-margin businesses and, together with our in-house initiatives, will help make Metso an even stronger performer going forward and able to deliver greater value to our shareholders."

Key figures

EUR million	Q2/ 2014	Q2/ 2013	Chan- ge %	Q1- Q2/ 2014	Q1- Q2/ 2013	Chan- ge %	2013
Orders received	947	968	-2	1,822	1,999	-9	3,709
Orders received by the services business	534	522	2	1,079	1,111	-3	2,038
% of orders received	56	54		59	56		55
Order backlog at the end of the period				1,938	2,306	-16	1,927
Net sales	962	988	-3	1,779	1,903	-7	3,858
Net sales of the services business	507	507	0	945	973	-3	1,976
% of net sales	53	51		53	51		51
Earnings before interests, tax and amortization (EBITA) and non-recurring items	131.2	117.7	11	218.7	220.5	-1	496
% of net sales	13.6	11.9		12.3	11.6		12.8
Operating profit	101.9	92.4	10	178.2	190.5	-6	423
% of net sales	10.6	9.4		10.0	10.0		11.0
Earnings per share, EUR	0.35	0.35		0.63	0.72		1.59
Free cash flow	47	35	34	95	82	16	251
Return on capital employed (ROCE) before taxes, annualized %	16.6	16.7		16.6	16.7		18.6
Equity-to-asset ratio at end of the period,%	37.3	36.2		37.3	36.2		36.9
Net gearing at end of the period, %	53.4	46.7		53.4	46.7		41.6

For illustrative purposes, the balance sheet key figures for the comparison period have been restated to represent continuing operations.

Short-term outlook

Market development
We expect demand for mining equipment and projects to remain weak but stable. Due to our large installed equipment base and our stronger services presence, we expect demand for our mining services to remain good. 

Demand for construction equipment and related services is expected to be satisfactory.

Demand for products and services for our flow control business is expected to remain good, whereas for our process automation systems business is expected to remain satisfactory.
 
Metso is a leading process performance provider, with customers in the mining, construction, and oil & gas industries. Our focus is on the continuous development of intelligent solutions that improve sustainability and profitability. Metso's shares are listed on the NASDAQ OMX Helsinki Ltd. Metso employs around 16,000 professionals in 50 countries. Expect results.