All sectors were up reflecting what HG said was the “strong momentum” from the rental business. Sales grew in all geographic areas between 2010 and 2011. Latin America experienced sales growth of 77%, and Asia 48%. Meanwhile European sales, which account for two thirds of overall sales, rose by 19%. In the US, activity grew by only 5% in a market where the key players are said by HG to have reinvested significantly in 2011.
The activity level over the second half of 2011 is said by the Group to be above operating breakeven point over this period. Despite European key players waiting since summer 2011 to place major orders, the need for fleet renewal in Europe and the positive sign of emerging markets, is said by HG to support the business outlook for 2012 and allow the Group to forecast double digit growth in 2012. In addition, HG has reached agreement with its bankers to extend the holiday period of certain covenants until June 30, 2012 and, during early next spring, will open discussions with its banking partners to renew the credit facility that expires in July 2013.
