06.03.2015

Manitou quadruples profits

Manitou has published its full results for 2014, which confirm revenues six percent higher, while profits more than quadrupled

As already reported See Manitou lifts revenues 6% total revenues for the year were €1.25 billion six percent up in 2013, while pre-tax profits increased almost five fold from €8.2 million in 2013 to €40 million last year. Net debt increased 15 percent to €97.5 million.

The Material Handling and Access Division was up four percent, with a strong improvement in operating profits to €20.3 million The improvement was the result of a favourable sales trend, reduced costs and productivity, as well as a reduction in overhead expense. The division re-located two production lines to improve manufacturing efficiency and reaction times. T

The Compact Equipment Products division – mostly Gehl –increased revenues 17 percent to €240 million, an increase of 17% compared to 2013. Operating profits increased over 41 percent to €16.8 million. The revenue increases were due largely to a strong North American construction market. The division also moved a production line from one North American site to another in order to increase capacity and efficiency.

Services and Solutions posted revenues three percent higher at €207 million. Operating profit almost tripled to €11 million, thanks to higher revenues, an improved product mix and the development of attachment sales.

Chief executive Michel Denis, said: "The very good work accomplished in 2014 and the new strategy presented last June clarified the ambitions and objectives of the group. The reorganisation carried out in its wake and encompassing the three new divisions took place faster than foreseen. The teams are now in marching order and the reassignment of production among the various production sites has been achieved. We are now more simply organised, lighter and more responsive, with the teams focusing their energy on coherent and homogeneous scopes”.

“The 2014 results are also a great satisfaction for the group and slightly above the high outlook previously announced. With a margin on current operating profit which more than doubled in 2014, the 2014 results are the first stage of the return to profitability which we want to be strong and sustainable”.

“The improvement was driven, at the same time, by the 6% growth in sales, the excellent operating performance achieved and the reduction of overhead expenses. Strengthened by this improved financial position and confident of the group's capability to achieve the objectives defined by the road map."