“The beginning of 2018 was characterised by a favourable operating environment in the equipment businesses. Ordering activity was healthy in Energy Solutions, thanks to the growing need for flexible, smart solutions in developed countries, and energy infrastructure investments in the emerging markets. For Marine Solutions, improved demand in the merchant segment and sustained activity in the cruise and ferry markets contributed to growth in orders received. While the economic outlook continues to support a gradual recovery in the marine industry, the impact of increased geopolitical uncertainty on customer decision-making is a concern. Services' net sales development was slower than expected during the first quarter, as customers in the merchant and offshore segments continued to limit spending to essential repairs and maintenance. As a result, the group sales mix favoured equipment deliveries, which burdened profitability.

Strengthening our digital offering, for instance through the projects developed in our acceleration centres, is central to securing our competitive position in industries being transformed by increasing connectivity and new business models. The acquisition of Transas, a leader in marine navigation solutions, training and simulation services, as well as ship traffic control is also important in this context. It builds on our investments in software engineering capabilities and artificial intelligence and will play a key role in the development of smart solutions and a digital platform. With this acquisition, we take a considerable step forward towards our Smart Marine vision, which, alongside our Smart Energy vision, strongly positions Wärtsilä to enable a sustainable, low emission economy.”