24.03.2004

Half year revenues up at JLG

JLG has reported a 44 per cent increase in revenues for the first half of its current financial year. The results were finally released after an investigation into irregularities in its previously reported accounts caused delays.

The company subsequently confirmed that following a full review, there were no further irregularities in its accounts beyond the $8.7 million order that was prematurely accounted for.

Aerial lift sales for the period were $198.6 million, up by over 28 per cent compared with the same period of the previous year. Telehandler sales rose from $47 million to $141.9 million, which was said to be largely due to the Omniquip acquisition.

The strong improvement in the North American market was attributed to the sharp revenue improvement. Sales in Europe for the period were roughly flat year-on-year due to a weak first quarter. This was compensated for, however, by a stronger second quarter, where a 23 per cent increase was reported.

Overall group sales for the second quarter were up 56 per cent, with aerial lift sales rising by over 37 per cent to $109 million and telehandler sales to $70 million.

"In the first six months of our fiscal year, traditionally our weakest period, there have been solid improvements in our operations," stated Bill Lasky, chairman of the Board, president and chief executive officer. "We have also made excellent progress on the integration of the OmniQuip product lines and our customers have reacted very favourably to the acquisition.

"Combined with the improving economic environment, our backlog is at the highest level in three years. The greatest detraction from our overall optimism continues to be the availability and prices of raw materials, especially steel."

While the second quarter showed a strong upturn in European revenues, JLG expects that it will not be as steep as in North America. Overall order intake trends are reported to have increased substantially with the comany's order book currently running at the highest level for at least three years.