Manitou confirms its outlook for an increase in sales. PHOTO: SHUTTERSTOCK

Manitou Group has reported a 1% rise in first-half sales revenues to EUR689 million (USD771.7 million). Equipment orders rose even more, up 9.5% from the same period last year and reaching EUR276 million (USD309.1). The company's order backlog at the end of the half year stood at EUR304 million (USD340.5 million), up from EUR281 million (USD314.7 million) in 2015. Net income also rose firmly to EUR23 million (USD25.8 million), compared to EUR17 million (USD19.0 million) in 2015. Michel Denis, president and chief executive officer, identifies Southern Europe as a driver of the solid performance, while North America registered a sharp decline. "From a market point of view, we achieved strong growth in the construction sector, especially business with rental companies and dealers boosted by the impact of the Macron law in France. Conversely, the agricultural business suffered from the worldwide drop in milk prices and other commodities," he explains. The Material Handling and Access Division registered a 13% increase in half-year sales, boosted by the acceleration of the construction business in Southern Europe, more pronounced in France due to the Macron law. Meanwhile, the Compact Equipment Products Division saw a 29% decline from the same period last year, impacted by weakness in North America, soft rental activity, a decreasing agricultural sector and the dollar pressure on products exported outside the US. Looking ahead, Manitou confirms its outlook for an increase in sales of 2% and an improved recurring operating income of approximately 50 basis points.