02.11.2023

Pick up continues at Manitowoc

US based crane maker Manitowoc, which also owns Grove, Potain and National Crane companies has reported a buoyant third quarter and raised its full year projections.

YTD

Total revenues for the nine months to the end of September were $1.63 billion, almost 16 percent higher than the same period last year. At the same time order intake has continued to keep pace with shipments coming in at $1.61 billion. The backlog/order book at the end of September bounced back to $1.03 billion, just over 10 percent higher than at the same point last year. Pre-tax profit for the nine months more than doubled to $46.1 million.

Third Quarter

Total revenues increased 14.6 percent in the quarter to $520.9 million, while non machine sales increased 21.2 percent to $154.7 million, partly as a result of the acquisition of the crane distribution assets of Denver based Honnen Equipment last October, taking Manitowoc MGX sales, service - and rental - outlets to 11. Order intake was 12.5 percent higher on the same quarter last year at $531.2 million. Pre-tax profits increased fivefold from $2.0 to $10.4 million.

Full year forecast
As a result of another quarter of solid order intake, Manitowoc has increased its full year revenue forecasts for the second quarter in a row, this time by a further two to three percent to between $2.175 and $2.225 billion. If achieved it would represent a seven to nine percent increase in revenues over 2022.

The company has also announced a new $35 million share repurchase programme with no stated expiration date.

Chief executive Aaron Ravenscroft said: “Manitowoc’s third quarter performance builds on the positive momentum from the first half of 2023. Based on these results, we are updating our full year guidance. Manitowoc is dedicated to serving the needs of our customers by investing in our Cranes+50 strategy as we grow our aftermarket offerings. We are executing strategies to support modernizing infrastructure, increasing clean energy, and building communities around the world,”

Vertikal Comment

Manitowoc is doing well, its order intake and backlogs have remained fairly consistent through the year while sales have climbed steadily quarter on quarter. This can be credited to a strong market in North America combined with increasing acceptance of is new All Terrain cranes in Europe, thanks to longer booms and improved capacities, both of which are bringing old customers back into the fold and winning over new ones.

It is probably also fair to say that the company has also been a net beneficiary of Tadano’s difficulties as it endures the challenges resulting from the merging of its Demag and Tadano Europe operations. Manitowoc is increasing its lead over Tadano in terms of revenues, although when it comes to pre-tax profits it still lags behind the Japanese market leader.

All in all, a very positive report from Manitowoc.