Forklift News - JLG POSTS USD100M LOSS, DESPITE IMPROVEMENTS

Despite improvements in some areas, JLG Industries Inc recorded a loss of USD101.59 million on sales of USD754.34 million for the fiscal year ended July 31, compared to a profit of USD34.21 million on sales of USD958.54 million the previous fiscal year.

The Pennsylvania-based firm said in its latest financial report, released on September 23, that sales increased for telehandlers (USD87.44 million from last year’s USD87.70 million) and after-sales support and service (USD124.59 million from USD116.38 million).

But sales fell in JLG’s biggest product line, aerial work platforms, to USD475.24 million from the 2001 figure of USD682.69 million, and in telescopic hydraulic excavators, which fell to USD58.60 million from USD65.50 million. By region, North American sales were down 22 percent to USD570.0 million, and European sales fell 11 percent to USD167.94 million.

"Numerous economic events this year, such as terrorist attacks, high-profile bankruptcies and accounting scandals, contributed to mixed economic signals and a resulting conservative approach by major customers to fleet expansion or replacement," JLG chairman, president and chief executive Bill Lasky said.

"We continue to focus on what is within our control in the short term while keeping an eye to the future."

JLG had generated significant cash flow and recapitalised its balance sheet by closing two facilities, outsourcing non-core operations and moving some production to Europe. Mr Lasky said the next two fiscal quarters, "traditionally our weakest period", would be very challenging.

"We have been able to manage our business successfully in the downturn by concentrating on process efficiencies, generating cash flow and reducing debt," he said.

"While uncertain economic conditions remain as we enter the new fiscal year, we remain committed to industry leadership by providing innovative, cost-effective, reliable equipment to our end-users."

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