The Manitowoc Co. this week reported sales of $898.0 million for the first quarter of 2013, an increase of 5.4 percent compared to sales of $851.9 million in the first quarter of 2012. The sales increase was primarily driven by a 7.8-percent increase in Crane segment sales.
On a GAAP basis, the company reported net earnings of $10.4 million, or $0.08 per diluted share, in the first quarter versus a net loss of $0.3 million, in the first quarter of 2012. Both periods included special items. Excluding special items in both quarters, the adjusted earnings from continuing operations were $12.6 million, or $0.09 per diluted share, in the first quarter of 2013, versus adjusted earnings of $0.6 million, in the first quarter of 2012.
“Fueled by our diverse product offerings, leading technologies, and geographic reach across the entire Manitowoc enterprise, we are pleased with our first-quarter performance as we generated another quarter of year-over-year revenue growth in both segments,” said Glen Tellock, Manitowoc’s chairman and CEO. “In spite of some pockets of macro-economic weakness, we are encouraged by the increasing level of customer engagement at both the Bauma and NAFEM industry trade shows, underscoring our excellent products and best-in-class support as a key differentiator for us. As both businesses continue to benefit from the significant investments we have made to upgrade our global manufacturing network, improve operating efficiencies, and drive product innovation, we are confident in our capabilities to enhance our positions across the globe.”
First-quarter 2013 net sales in the Crane segment were $547.4 million, up 7.8 percent from $507.9 million in the first quarter of 2012, driven primarily by continued growth in the Americas region, as well as sustained demand in certain emerging markets muted by continuing weakness in Europe.
Crane segment operating earnings for the first quarter of 2013 were $31.3 million, compared to $21.4 million in the same period last year. This resulted in an operating margin of 5.7 percent for the first quarter of 2013, up from 4.2 percent in the same period in 2012. First-quarter 2013 earnings were driven by higher sales volume and operational efficiencies.
Crane segment backlog totaled $776 million as of March 31, an increase of $20 million from year-end 2012. First-quarter 2013 orders of $569 million were 16-percent lower than the first quarter of 2012, a metric that was anticipated given the timing of the Bauma trade show.
“We maintained our momentum during the first quarter as our Crane segment generated solid sales growth and margin improvement through focused execution across all levels of the business, despite less than favorable macro-economic conditions,” Tellock said. “New orders during the first quarter were lower than the prior year as several customers deferred placing orders until the Bauma trade show. By almost every measure, Bauma was a record-breaking event. Over 500,000 global visitors attended the seven-day show, during which we booked substantial crane orders for delivery in 2013. Customer and dealer sentiment were strong, which increases our confidence in achieving our financial performance objectives.”
Given first-quarter results that were in-line with expectations, the company is reaffirming its full-year guidance for 2013. Manitowoc expects high single-digit percentage growth in crane revenue and crane operating margins for the full year.
The Manitowoc Co. manufactures crawler cranes, tower cranes and mobile cranes for the heavy construction industry. In addition, Manitowoc is a leading provider of commercial foodservice equipment.
