30.01.2014

Positive year for Manitowoc Crane

Profitability at Manitowoc Cranes grew substantially faster than revenues in 2013 with revenues up 3.5 percent on 2012.

Full year revenues were $2.5 billion, three percent up on 2013, while operating income increased over 28 percent to $218.8 million.

The fourth quarter, while strong in terms of order intake – up 30 percent on 2012 – saw revenues fall eight percent to $704.8 million, mostly due to the fact that 2012 sales were unusually high, as they included $120 million worth of shipments delayed from the third quarter. Operating income in the quarter slipped just over eight percent to $54.8 million as a result of the lower revenues, partially offset by procurement savings and operational efficiencies.

The backlog at the end of the year was $574million, $182 million lower than at the same time last year in spite of the strong upward trend in the final quarter.

Group chief executive Glen Tellock said: “Sales and order activity were solid in the Crane segment in the fourth quarter. Driven by sustained demand across multiple product categories, notably crawler cranes and tower cranes, the strong order intake during the quarter was particularly noteworthy as this was the highest level reached since before the recession. Furthermore, we are excited to showcase our innovative new designs in the upcoming year, including an array of technologically advanced products that will premiere at Conexpo 2014.”

Taking a quick look at Manitowoc as a whole, revenues for the year were up almost 3.5 percent to $4.05 billion, while pre-tax profits for the year increased almost 54 percent to $225.2 million.

Vertikal Comment

Another good set of numbers from Manitowoc, with the modest revenue gains hiding some solid underlying improvements in the business, which should put it into a strong position as the developed markets continue to recover over the next few years.