Sales on the rise at Manitowoc
By Euan Youdale02 November 2011
Manitowoc saw its Crane segment net sales rise 20.7% in the third quarter 2011, driven mainly by continued growth in the Americas and greater demand in most emerging markets.
That amounted to a net sales figure of US$529.4 million, up from US$438.7 in the third quarter 2010. Crane segment operating earnings for the third quarter increased to $25.4 million from $16.1 million in 2010. This resulted in a segment operating margin of 4.8% for the third quarter, up from 3.7% the previous year.
Backlog for the crane segment totalled $775 million on 30 September 2011. Third quarter orders of $464 million were 35% higher than the same period 2010 in this typically seasonally soft quarter for order activity, said the company.
"We saw continued strength in several emerging markets, including Asia, Latin America, India, and the Middle East. North America was also a strong performer during the third quarter as energy and infrastructure projects continued to drive improved sales growth," said Glen Tellock, Manitowoc chairman and CEO.
"From a product line perspective, we experienced mixed demand levels, with large rough terrain cranes and boom trucks contributing positively to the quarter, while crawlers and tower cranes witnessed softer demand in developed markets," Tellock continued.
Across the group Manitowoc Company reported sales of $935.4 million for the third quarter of 2011, an increase of 15.9% compared to sales of $807.1 million in the third quarter of 2010. The sales increase was driven by the 20.7% rise in crane segment sales, coupled with a 10.2% increase in foodservice segment sales.
"Our solid third quarter results reflect the sustained success we are experiencing in emerging markets, particularly those geographies where we enjoy first-mover advantage," said Tellock.
"While persistent pressure in the broader economic landscape has tempered a growing recovery, we are well positioned for the long term as we continue to capitalise on activity driven by large infrastructure and energy projects in cranes and momentum from new product launches in foodservice," added Tellock.