26.01.2023

Strong finish for Manitou

Access and telehandler manufacturer Manitou has reported its full year revenues with substantial growth in the fourth quarter.

Full Year Revenues

Total revenues for the 12 months to December increased 26 percent to €2.36 billion this was broken down as follows:
sales by division
Product division: €1.97 billion +28%
Service and support: €390 million +15%
Total revenues: €2.36 billion +26%
Sales by region
Southern Europe: €830 million +38%
Northern Europe: €862 million +15%
Americas:€436 million +30%
Asia Pacific: €233+24%
Total: €2.36 billion +26%

Order book
The company ended the year with an order book for new machines of €3.52 billion, up 17.5 percent on December 2021, however order intake in the fourth quarter slumped 55 percent to €485 million, part due to long lead times and the fact that Manitou is not immediately booking orders into 2024, but phasing them in gradually in order to try and keep a sustainable backlog.

Fourth Quarter Revenues

Sales in the fourth quarter were extremely strong jumping 54 percent to €730 million, partly due to improving production volumes, but also a comparison with a weak fourth quarter in 2021 due to production issues.
sales by division
Product division: €630 million +65%
Service and support: €101 million +10%
Total revenues: €730 million +54%

Sales by region
Southern Europe: €277 million +75%
Northern Europe: €258 million +45%
Americas: €129 million +59%
Asia Pacific: €66 million +19%
Total: €730 million +54%

Chief executive Michel Denis said: "The group continues to accelerate its growth by closing the year with a 54 percent increase in fourth quarter revenues compared to 2021. Over the entire year, our revenues grew by 26 percent and reached a new historical record at €2.36 billion. The commitment of our teams and the adaptation to a supply chain environment that is still not very fluid have enabled us to achieve this performance.”

“As announced, sales price increases had only a partial effect in 2022. The very high level of invoicing in the fourth quarter concerned old orders with low margins, which weighed on the operating margin for 2022 and led the group to revise its operating margin estimate for 2022 to around 3.5% of its revenues.”

“The markets remain globally well oriented. Only the construction sector in Europe, in particular the United Kingdom and Germany, is showing less dynamism or a slowdown. This is not, however, noticeable among rental companies, which remain in demand on all continents.”

“The industrial organisations are designed to meet our customers' demand in a supply chain environment that remains tense and inflationary. We expect inflationary pressure on our margins to return to a normative situation in the second half of 2023. For 2023, the group anticipates a revenue growth of over 20 percent compared to 2022. "


Vertikal Comment

These results suggest that Manitou is really getting on top of its supply chain and production issues, although we understand that this is carrying a significant cost in terms of capital tied up with extra inventory etc... The company has said that it will double its investments in 2023 in order to add further capacity and introduce more new products.

It expects sales this year to improve around 20 percent which would take revenues to more than €2.8 billion and with a fair wind it might just squeak its first €3 billion year – it will certainly achieve a $3 billion year.

The future looks bright for Manitou.