25.10.2024

Tough quarter for Manitou

French Telehandler and aerial lift manufacturer Manitou has released its third quarter revenue numbers.

Year to Date

Total revenues for the nine months to the end of September declined three percent to €2.0 billion. The nine month revenues were broken down as follows:
New equipment sales €1.69 billion -4%
Parts and services €308 million +4%
Total €2.0 billion -3%

Geographic breakdown
Southern Europe €704 million +3%
Northern Europe €701 million -6%
The Americas 410 million -9%
Asia Pacific€185 million +6%
Total2.0 billion -3%

Third quarter

Total revenues for the third quarter declined 10 percent to €593 million. Order intake for new equipment improved 17 percent on the same period last year to €252 million. Leaving the order book at the end of September at €1.1 billon, less than half what it was this time last year.

Third quarter revenues were made up as follows:
New equipment sales €489 million -13%
Parts and services €104 million +8%
Total €593 million -10%

Geographic breakdown
Southern Europe €207 million -3%
Northern Europe €186 million -22%
The Americas 142 million -2%
Asia Pacific €58 million 1%
Total593 million -10%

Full year forecast
The company is now forecasting that full year revenues will come in roughly seven percent below that achieved 2023. Which equates to around €2.67 billion.

Chief executive Michel Denis said: "Cumulative nine month revenues reduced by 3% in comparison to 2023, September. 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.”
An order intake on equipment rebound appears following several decreasing quarters. The order book on equipment becomes gradually normalised around six months of activity. We currently do not anticipate a significant evolution of the business environment till the year end.”
“Thanks to the team's efforts, the group anticipates, for the whole 2024 year, revenues slightly decreasing compared to 2023, with a recurring operating profit above 7% of the revenues.”

Vertikal Comment

This result reflects what companies have been saying throughout the summer, regarding a slow down across Europe since the spring. Having said that, it is important to put some perspective on the situation, last year’s revenues were boosted by a catch up from a year with supply chain issues, which was also reflected in the size of the order book.

Taking these factors into consideration these numbers look more reasonable and simply reflect some temporary uncertainties in the wider market. It will be interesting to see how Manitou views the prospects for 2025 as we move closer to the new year.

In spite of the lower sales and shrinking order book, Manitou is still set to post a reasonable profit for the year.