Sales up 20.5% at Skyjack

Canada-based Skyjack, otherwise known as the Industrial segment of parent group Linamar, increased its sales by 20.5% or $37.5 million to $220.4 million in the second quarter of 2014, compared to the same period in 2013.

Linamar said the rise was due to increases in demand in access equipment markets in North America and Europe and the favourable impact of the stronger US dollar in comparison to Q2 2013.

Skyjack’s operating earnings rose $13 million, or 52%, in the quarter, thanks to productivity and efficiency improvements driven by higher volumes on new products and cost savings initiatives on mature products, as well as the other reasons stated above

“We are thrilled to report another outstanding quarter of record results,” said Linamar CEO Linda Hasenfratz. “We continue to deliver double digit growth top and bottom line and delivered another solid performance in margins in all areas driving excellent return on equity for our shareholders.

“Our strong results are driving continued cash generation even as we invest in our substantial book of business launching, meaning we have a strong balance sheet with maximum flexibility. We are on track for another great year at Linamar and feel very positive about continued strong performance in the future.”

Across the group, sales increased 18.9% over the second quarter of 2013 to reach record levels of $1.1 billion. Operating earnings were up 38% to $124.3 million, while net earnings were also up 47.8% and earnings per share up 46.8%, reaching $89.7 million and $1.38 respectively, a new record for both.