The Manitowoc Company, Inc. (NYSE: MTW) today reported sales of $860.1 million for the first quarter of 2012, an increase of 17.5 percent compared to sales of $732.2 million in the first quarter of 2011. The sales increase was driven by a 29.3 percent increase in Crane segment sales, coupled with a 3.8 percent increase in Foodservice segment sales.
On a GAAP basis, the company reported net earnings of $0.1 million, or $0.00 per diluted share, in the first quarter versus a net loss of $52.4 million, or a loss of $0.40 per diluted share, in the first quarter of 2011. Both periods included special items. Excluding special items in both quarters, the adjusted earnings from continuing operations were $0.8 million, or $0.01 per diluted share, in the first quarter of 2012, versus an adjusted loss of $13.5 million, or a loss of $0.10 per diluted share, in the first quarter of 2011. A reconciliation of GAAP net earnings to net earnings before special items for the quarter is provided later in this press release.
First-quarter 2012 income tax expense was $12.4 million, or 113.7 percent of pre-tax income. This unusual first-quarter effective tax rate was due to the geographical mix of earnings in the quarter and the impact of losses in certain jurisdictions where the company is not able to recognize a related income tax benefit under GAAP. The company anticipates that its full-year effective tax rate will be in the high 30 percent range.
“Our first-quarter results create a strong foundation for Manitowoc given robust top-line growth of 18 percent and a 150-basis point improvement in operating margins in this seasonally soft quarter,” Glen E. Tellock, Manitowoc’s chairman and chief executive officer commented. “The core tenets of our strategy – superior products, unrivaled aftermarket support, capitalizing on global growth opportunities, and driving operational efficiencies – continue to differentiate us in the marketplace and solidify our position as a leading manufacturer of cranes and foodservice equipment.”