27.07.2011

Manitowoc up 16%

Manitowoc Crane has reported half year crane revenues up 16 percent, profits remained flat but the backlog improved.

Half year revenues were $948 million 16 percent higher than at the same time last year while operating income was $42 million, compared to $43 million at the same point in 2010. The crane order book at the end of June was $839 million, 58 percent up on June 2010 and 4.9 percent up on the quarter.

Second-quarter sales were $554.8 million, up 22.9 percent on the second quarter of 2010, driven primarily by growth in the Americas and emerging markets. Operating income slipped back from $38.5 million last year to $29.5 million this year. According to the company this was largely due to commodity cost pressures, as well as an unusually high margin in 2010.

Manitowoc as a whole reported half year revenues of $1.68 billion 12 percent up on the year, while pre-tax losses improved from $20.8 million last year to $13.3 million this year.

Manitowoc chief executive Glen Tellock said: "The second-quarter Crane segment results illustrate the benefits we receive from our global footprint and considerable product breadth. Project discussions and improved quoting activities are occurring in most product lines with demand in North America picking up, particularly in large rough-terrain cranes and boom trucks, coupled with increased activity in some parts of Europe for tower cranes and All-Terrain cranes. In our emerging markets, we still see energy and infrastructure projects driving sales. The level of activity we have witnessed in the first half of this year supports our assertion that 2010 was indeed the trough and 2011 will be a transition year as we continue to move through this recovery".

"Achieving and preserving an optimal capital structure remains a key priority for us as we capitalize on the strategic opportunities ahead of us. We continue to focus on working capital management to ensure we maintain an appropriate balance between our ability to meet growing customer demand and our cash generation and debt reduction goals," continued Tellock.

"We believe that our initiatives around product innovation and operational excellence position us well to leverage the recovering economy. We will continue to invest in the necessary people, processes, and technology to support our long-term growth strategy as we focus on expanding our leadership and competitive position in 2011 and beyond."