The Manitowoc Co. reported first quarter sales of $427.4 million, a 5-percent increase compared to the first quarter of 2015. Adjusted loss from continuing operations was $5.3 million in the quarter compared to $28.6 million in the year-ago quarter, a substantial improvement.
On a GAAP basis, the company posted a net loss of $204 million compared to $8.4 million a year ago, with earnings impacted by costs associated with early extinguishment of debt, restructuring and one-time tax items.
“We made great strides in the first quarter transitioning to a stand-alone crane business,” said Barry Pennypacker, president and CEO of Manitowoc. “We’ve begun to establish a new culture based on The Manitowoc Way, focused on driving innovation and velocity throughout all of our business processes. In the first quarter, we experienced continued momentum in our Tower business, fueled by residential and non-residential construction. As anticipated, demand for Mobiles remains soft.”
Pennypacker said the company’s full year outlook remains unchanged. He said the company will focus on four key elements: utilize Lean expertise to increase flexibility of the company’s manufacturing footprint globally; reinvigorate the development process to introduce new products with enhanced productivity; focus on gaining market share; and take advantage of a strengthened balance sheet to allocate capital to the most accretive options available.
First quarter net sales were $427.4 million compared to $406.7 million in the year-ago quarter, an increase caused by continued strength in towers as a result of improving residential and commercial construction trends, as well as new product introductions. The improvement was offset by persistent currency headwinds and ongoing softness in mobile cranes driven by underperformance in the United States because of lower oil prices.
