Crane manufacturer Manitowoc Co. posted net sales of $418 million in the first quarter of 2019, compared to $386.1 million in 2018’s first quarter, an 8.3-percent year-over-year increase. Adjusted EBITDA was $29.6 million compared to $17.1 million a year ago, a 73-percent boost.
Manitowoc attributed the revenue jump to higher crane shipments in the Americas and the Europe and Africa region, along with favorable price realization, partly offset by unfavorable foreign currency exchange rates. The company credited its EBITDA hike to organic growth in the North American market, along with favorable mix, global price initiatives and cost reductions through restructuring initiatives.
“Manitowoc once again delivered a strong start to the year, delivering our eighth straight quarter of year-over-year adjusted EBITDA margin increase,” said Barry Pennypacker, president and CEO of The Manitowoc Co. “The operating principles of The Manitowoc Way continue to produce improving financial results as we execute our strategy for profitable growth by delivering innovation and velocity in everything we do. In March, we successfully refinanced our capital structure to further strengthen our balance sheet. This action increases liquidity, reduces interest expense and allows us more flexibility to deploy our capital in order to increase shareholder value.
“Market conditions remain very competitive. We continue to focus on providing innovative products and services for customers as evidenced by positive customer reception to our six new cranes introduced at the Bauma trade show in April. As a result of our first-quarter performance and our proven ability to execute on our strategy, we are raising our full-year guidance.”
Manitowoc updates its full-year 2019 financial guidance as follows:
- Revenue – approximately $1.900 to $1.975 billion;
- Adjusted EBITDA - approximately $130 to $150 million;
- Depreciation - approximately $35 to $37 million;
- Restructuring expense - approximately $12 to $15 million;
- Interest expense – approximately $29 million to $33 million, excluding debt refinancing costs;
- Income tax expense - approximately $12 to $16 million, excluding discrete items; and
- Capital expenditures - approximately $35 million.