28.01.2011

Manitou finishes on a high

Telehandler manufacturer Manitou has posted fourth quarter revenues up 35 percent on last year with a strong order intake pushing up the company’s backlog and creating supply issues.

The company has released its sales number for 2010 which show total revenues for the year as a whole of €838.3 million an increase of 23 percent on 2009. Telehandler and RT fork trucks sales were €586 million up 21 percent. Compact Equipment, which is largely Gehl jumped 71 percent to €128.1 million, while industrial/material handling was flat at €123.8 million.

Geographically France was up 12 percent to €272.2 while the rest of Europe climbed 20 percent to €360.5. The Americas posted the highest percentage growth at 58 percent taking revenues to €113.6. The rest of the world was up 34 percent to €92 million.

The company’s full results will not be posted until early March, but are likely to show a negative pre-tax result. The upward trend should though see the business return to profits in 2011.

Manitou’s chief executive Jean-Christophe Giroux, said: “It’s been a strong fourth quarter and a good finish for 2010 which will remain as the year of the rebound. Even if market conditions are still very tough to read, we cannot deny a better environment and a catch up effect in renewal cycles. The rebound has been spectacular with Compact Equipment in North America, but coming from a very low level.”

“Now, with orders up 48 percent in Q4 vs Q3, year-end backlog is close to 7,500 units. The flipside is that we still cannot source components fast enough to deliver on this demand, resulting in overheating and under efficient operations. Still, we expect to be close to EBIT break-even on a full-year basis in 2010.”

“2011 should be the year of the recovery with net income back in the black. With topline growth around 20 percent, EBIT performance will entirely depend upon our ability to improve our efficiency and manage the suppliers’ double squeeze from raw materials increase and constrained manufacturing capacity. The new cycle is beginning, lots of parameters have changed but we are a much better Manitou altogether, and we confirm we will expand our leadership further in the coming years.”

Vertikal Comment

All in all a positive result from Manitou which reflects the steady upward trend of the second half. It seems that construction and rental companies in Northern Europe are once again buying telehandlers, while the US market for Skid steers and the like is bouncing back and agricultural sales are beginning to grow again.

No mention is made of how the access division performed although it is unlikely to be any better than lacklustre – if that good. The telehandler business is still the driving force behind the Manitou’s fortunes and that market overall is making a strong comeback.