Manitou this week reported second-quarter 2012 revenue of €357 million (about U.S. $431.9 million), a 21-percent increase from the second quarter of 2011. Revenue in the first half of 2012 increased 20 percent to €672 million (U.S. $813.1 million) from €561.6 million in the first half of 2011.
“It’s been another great quarter, that somewhat contrasts with the general perception because we’re at a double inflexion point,” said Jean-Christophe Giroux, Manitou president and CEO. “First, we pulled an extra effort to bring our RTH (Rough Terrain Handling) lead times down to acceptable market levels — a major step forward in our Refoundation program both from a commercial and operational perspective. Second, despite good levels to date, we now expect a slowdown in order intake, to reflect on a global environment where negative situations — whether real or just anticipated — now generalize over positive ones.”
The Compact Equipment Division generated 24-percent revenue growth of €61.8 million (U.S.$74.8 million) in the second quarter. In North America, large rental customers have initiated partial re-fleeting programs that provided good business for the Gehl-branded telehandlers. By contrast, Europe is suffering on its traditional skid-steer markets due to the sluggish construction and economic situation there.
The Rough Terrain Handling Division generated revenue of €252 million (U.S. $304.9 million), up 23 percent year over year, and the Industrial Material Handling Division posted revenue of €43.2 million (U.S. $52.3 million), a 9-percent increase over the prior-year period.
The company forecasts full-year 2012 revenue to be up 10 percent vs. 2011, still within its 10- to 15-percent guidance.
“We maintain our focus on new product ramp-up, and across-the-board operational reforms that unfold according to plan,” Giroux said. “The combination of lower-than-expected volumes, intense Refoundation efforts and operational swings is likely to weigh on our full-year margin, which — pending first-half earnings release on Aug. 29 — we update from 5.5 to 5 percent.
“The new environment confirms that the industry is moving away from long and steep cycles to shorter and more contrasted market situations where reactivity, adaptability and flexibility will be key. It does not change our vision of the market potential, nor our own ambitions, capacity and enthusiasm to lead it and get to the next level.”
Manitou, Ancenis, France, designs, assembles and distributes material-handling solutions for agriculture, construction and industrial markets. Business is conducted under the Manitou, Gehl, Mustang, Loc and Edge trademarks.