Wartsila

Wärtsilä is a Finnish public engineering company that produces machinery and other equipment for power plants operating on gas, oil and other raw materials.

History

2022

Write-off of 200 million euros related to Russia

Wartsila wrote off 200 million euros associated with Russia. The Finnish engineering company announced this in its financial statements published at the end of October 2022.

According to the disclosed materials, the operating result of the company in January-September 2022 decreased by 232 million euros and amounted to a loss of 62 million (profit of 170 million euros for the same period a year earlier). This includes expenses of 200 million euros related to the departure of Wärtsilä from Russia, and expenses of 75 million euros related to the reduction of production in Italian Trieste, the company said.

Wartsila wrote off 200 million euros related to Russia

The company indicated that from January to September 2022, the receipt of orders increased by 24% compared to the same period in 2021, to €4.436 billion, and net sales - by 28%, to €4.072 billion. In the last quarter of 2022, demand for the company's products is expected to be weaker than in the same period last year. In general, the company expects higher demand this year compared to 2021.

The Finnish manufacturer of equipment for the marine and energy industries in July 2022 reported that in connection with the departure from Russia, the company closed its office in St. Petersburg. The company stressed that they comply with trade sanctions imposed by the European Union against Russia. All business transactions in the country.

Wartsila clarified that leaving the Russian market will slightly affect the company's financial performance in the second quarter, since the consequences of this decision have already been reflected in the report for the first quarter.

As stated on the company's website, Wartsila is the world leader in innovative technologies and production solutions throughout the life cycle for the marine and energy markets. The company employs 17 thousand people in more than 200 offices in 68 countries (by October 2022). ^[1]

The Russian team of Wartsila, who left the Russian Federation, has created a company to service IT systems for ships

On July 13, 2022, it became known that the Russian team that left the Wartsila Russian Federation (a Finnish supplier of equipment and technologies for the market power engineering specialists and shipbuilding) created a company to service IT systems for ships. It was called the Evolution of Marine Digital Technologies (EMCT). More. here

Sale of Transas Navigator and Wartsila Vostok LLC to Russian managers

In May-June 2022, against the background of Russia's special operation in Ukraine, Wartsila sold Transas Navigator and Wartsila Vostok LLC to the local management of the companies. Transas Navigator will operate as an independent company and will continue to serve local customers.

Stopping supplies to Russia

At the end of February 2022, Wartsila suspended all deliveries and sales to the Russian Federation due to the start of a Russian special operation in Ukraine. Then the company said that "in the current conditions, it is unprofitable for Wartsila to continue its activities in Russia.

The company decided to further reduce the scale of its activities in the country, so it was decided to create a reserve of 200 million euros in the financial statements for the first quarter of 2022.

2018: Purchase of "Transas"

On March 19, 2018, the Finnish corporation Wartsila announced the acquisition of the Transas group, which is part of the Industrial Investors holding, which develops high-tech equipment and software for the marine industry. It is planned to close the transaction, the cost of which is estimated at €210 million, in the second quarter of 2018. Read more here.