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Research

Wärtsilä: Good performance in a difficult market

By Erkki VesolaAnalyst
Wärtsilä
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Wärtsilä’s Q1 figures landed reasonably close to estimates, although adjusted relative profitability was slightly below expectations. Margins were depressed by weaker sales mix and a strong increase in costs. Wärtsilä’s Q2 guidance was disappointing, but understandable in the current turbulent market situation. Low visibility into demand and earnings drivers led us to cut our estimates for 2022-2024.

Wärtsilä specializes in power solutions for the marine and energy sectors. The business is managed based on several business segments and the range includes integrated system solutions, spare parts, and associated service functions during the installation cycle, but also complete operation and optimization services. The company was originally founded in 1834 and is headquartered in Helsinki, Finland.

Read more on company page

Key Estimate Figures2022-04-28

202122e23e
Revenue4,778.05,375.45,704.8
growth-%3.8 %12.5 %6.1 %
EBIT (adj.)357.0379.4500.5
EBIT-% (adj.)7.5 %7.1 %8.8 %
EPS (adj.)0.400.440.56
Dividend0.240.310.43
Dividend %1.9 %1.0 %1.4 %
P/E (adj.)31.069.153.8
EV/EBITDA16.844.928.9

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