The Manitowoc Co. this week reported sales of $1.0 billion for the second quarter of 2012, an increase of 5.9 percent compared to sales of $949.8 million in the second quarter of 2011. The sales increase was driven by a 10.1-percent increase in Crane segment sales, coupled with a slight increase in Foodservice segment sales.
On a GAAP basis, the company reported net earnings of $42.5 million, or $0.32 per diluted share, in the second quarter versus earnings of $3.0 million, or $0.02 per diluted share, in the second quarter of 2011. Both periods included special items. Excluding special items in both quarters, the adjusted earnings from continuing operations were $42.8 million, or $0.32 per diluted share, in the second quarter of 2012, versus earnings of $20.5 million, or $0.15 per diluted share, in the second quarter of 2011.
“Strong operating leverage drove further margin expansion during the second quarter as initiatives to drive operational efficiency continued to bear fruit,” said Glen Tellock, Manitowoc’s chairman and CEO. “Moreover, year-over-year sales growth of 10 percent in Cranes coupled with the successful reception of new and existing Foodservice products at the National Restaurant Show validate the strength of our offerings and underscore the significant competitive advantage created by delivering high-quality, innovative products. Despite the slowing global growth environment and some market-specific headwinds, we remain confident in our updated 2012 outlook and will continue to support our strategic initiatives to position the business for long-term growth and success.”
Second-quarter 2012 net sales in the Crane segment were $610.7 million, up from $554.8 million in the second quarter of 2011, driven primarily by continued growth in the Americas region, as well as sustained demand in most emerging markets. The 10.1-percent sales growth was achieved in spite of a negative $32 million impact from currency exchange. Crane segment backlog totaled $944 million as of June 30, a 13-percent increase from $839 million in the prior-year quarter. Second-quarter 2012 orders of $629 million were 7.0 percent higher than the second quarter of 2011.
“We maintained solid momentum during the second quarter in our Crane segment, experiencing strong order intake, a growing backlog, and further margin expansion,” Tellock said. “Similar to the previous quarter, the Americas and most emerging markets demonstrated positive momentum, while demand in Europe and China remained challenging. In addition, we saw varied demand levels across our product categories, with large rough-terrain cranes, all-terrain cranes, and boom trucks contributing positively to the second-quarter performance, while crawlers and tower cranes experienced modest demand.”
The company updated its full-year guidance. It now expects 10- to 15-percent year-over-year growth in Crane revenue and 30- to 40-percent year-over-year increase in Crane operating earnings.
The Manitowoc Co. is a multi-industry, capital goods manufacturer with more than115 manufacturing, distribution, and service facilities in 25 countries. The company is a global provider of crawler cranes, tower cranes, and mobile cranes for the heavy construction industry. In addition, Manitowoc is a leading manufacturer of commercial foodservice equipment.