Manitowoc hit by lower Middle East and Asia sales
15 October 2015
Preliminary results announced by Manitowoc for the third quarter of 2015 show a further decline in sales from the same quarter a year earlier.
Sales at the Manitowoc Company (both Cranes and Foodservice) are forecast to be US$863 million for Q3 2015 against $986.3 million for the third quarter of 2014. Net earnings, again for the Manitowoc Company, are projected to be approximately $5 million compared with $73.1 million in the third quarter of 2014.
Glen Tellock, Manitowoc chairman and chief executive officer, commented, “While we are seeing continued improvement in our Foodservice business, our Cranes segment continued to be negatively impacted by a deteriorating demand environment, particularly in the Middle East and Asia. In addition, lower than anticipated tower and crawler crane shipments exacerbated the shortfall in revenues for the third quarter.
“We are taking a number of aggressive actions, including plant rationalisation and right-sizing the business, to offset this decline in demand. Based on third-quarter results, we now expect Cranes full-year 2015 revenues to be down 15 % to 20 % compared to 2014 and operating margins to be low single-digits for full-year 2015.”
