JLG leads the way in Oshkosh Q2 results
By Maria Hadlow26 April 2012
In its second quarter results (ending 31 March 2012) Oshkosh said that access equipment market recovery has led the way. The sector, primarily comprising of JLG, has contributed $760.4 million to the company's $2.08 billion sales - an increase of 61.4% from the same period last year.
Backlog is up 58% from the same time last year to $941 million.
Oshkosh said that access sales figures have grown because of an increased global demand led by North America and price increases. Margins, which have grown 9% compared to the same period a year ago, have been positively influenced by an improved product mix, price increases and economy of scale in production while higher material costs and spending on new product development have narrowed the margin.
JLG reported a successful Intermat exhibition and a good reaction to its rental series scissor lifts. Production in the Romanian and Chinese factories is also said to be progressing.
Oshkosh has updated its expectations for the financial year with an prediction that JLG will deliver sales between 35 and 40% higher than 2011 and increase its margins by 7.5 and 8%.
The JLG access sector is the second largest of JLG's divisions behind defence ($987.3 million sales this quarter). Defence sales are expected to fall slightly this year and likely to be further impacted in 2013 by a proposed reduction in US government spend on defence.