Manitou revenue rises 12%
By Euan Youdale28 April 2021
Revenue rose 12% to €471 million for Manitou in the first quarter of its 2021 financial year, compared to the same period in 2020.
The quarter, which ended 31 March, also saw a record order intake at the France-based manufacturer of €815 million, compared to €400 million in the first quarter last year. The order backlog jumped to €1,344 million in the quarter, up from €648 million, which the company described as an unprecedented high level.
Michel Denis, president and CEO, said, “Activity in the first quarter confirms and expands the rebound that we have seen at the end of 2020. All markets and sectors of activity have experienced extremely sustained growth.”
With quarterly revenues of €388 million, the Product Division also recorded growth of 12%, or 15% at constant exchange rates, compared to the first quarter 2020. The new Product Division, which combines the former Material Handling & Access (MHA) and Compact Equipment Product (CEP) divisions is in the process of ramping up its supply chain and moving to stage five of its production for Europe. Last week, as part of that preocess, the division announced an expansion of its range for the construction industry through a number of product launches and renewals.
The Services and Solutions Division (S&S) also reported a 12% increase in revenues, up 14% at constant exchange rates, compared to the same period last year, to €83 million. The manufacturer said business in the S&S division was very strong in all markets, with pressure on availability and prices in the distribution of spare parts.
Expanding on the theme, Denis added, “From an operational point of view, we are organising the adaptation of our production line speeds, taking into account the time required to accelerate our entire supply chain and the need to recruit and train additional manpower. The situation is made more complex by tensions over the availability of certain components.”
This has led to price inflation for raw materials and some components, with Manitou passing on those increases to its customers. According to the company, given the strength of the order book, these rises will first be felt at the end of the year.
“We remain fully focused on the upturn. Our acceleration is still limited by an ecosystem that cannot take off any faster. We are confirming our business and earnings expectations for the year, while remaining very vigilant about the delays that could result from the lack of availability of some components or a further deterioration in the health situation,” Denis said.