Economy and dealer stocks hit Manitou revenues

Group nine-month revenues stood at €2,000m, down 3% on the same period in the 2023 financial year, although the company’s Service and Solutions division saw growth.

Order intake was up from €216m in the third quarter last year to €252mm this year, reflecting a more stable environment in comparison to this year’s full three-quarters which stands at €1,107m, down from €2,718m in 2013.

Michel Denis, President and Chief Executive Officer at Manitou, said, “This slowdown is due to an economical and geopolitical environment deterioration from this summer as well as a high level of dealer inventories in Northern Europe and Northern America”

On the subject of the order book, Denis added. “An order intake on equipment rebound appears following several decreasing quarters. The order book on equipment becomes gradually normalized around six months of activity.”

Divisions in focus 

By division, the Product division reported a -13% drop in the third quarter, and a 2023, and 4% drop over the nine period. The company said the division was re-organising to support long term group growth, with for example the inauguration of its Yankton plant extension in the US and the launch of a new mechanical welding site in France dedicated to the aerial platforms.

With quarterly revenues of €104 million, the Services & Solutions division (S&S) recorded an 8% increase in revenues in the third quarter, and a 4% increase over the first nine months of the year. The division has strengthened its Southern Africa presence with the acquisition of Dezzo dealer activities.

Denis added that Manitou did not anticipate a significant uptick in the business environment until the end of the year, with end of 2024 revenues expected to be slightly lower than 2023, with a recurring operating profit above 7% of the revenues.

Manitou forecasts challenging second half year Outlook for North America follows positive first six months of 2024