We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Manitowoc (MTW) Posts Wider Loss in Q4, Sales Plunge Y/Y
Read MoreHide Full Article
The Manitowoc Company, Inc. (MTW - Free Report) reported fourth-quarter 2016 adjusted loss per share of 23 cents per share, as against an earnings of 5 cents reported in the year-ago quarter. Loss was much wider than the Zacks Consensus Estimate of a loss of 17 cents.
Including special items, the company posted a loss of 24 cents per share in the reported quarter. It had posted earnings of 32 cents per share a year ago.
The maker of cranes and restaurant equipment posted a 30% year-over-year plunge in sales to $378 million in the reported quarter. Revenues also missed the Zacks Consensus Estimate of $391 million.
Manitowoc Company, Inc. (The) Price, Consensus and EPS Surprise
Cost of sales declined 26.8% to $332.7 million in the quarter from $454.9 million in the prior-year quarter. Gross profit plummeted 48% year over year to $45.5 million. Additionally, gross margin contracted 400 basis points to 12%.
Engineering, selling and administrative expenses descended 19.7% year over year to $61.9 million. Adjusted operating loss was $16.4 million compared with a gain of $11.1 million in the year-ago quarter.
Backlog
Backlog was $323.8 million as of Dec 31, 2016 as against $353.6 million in third-quarter 2016. Fourth-quarter 2016 orders of $348.3 million fell 18% from the year-ago quarter.
Financial Updates
Manitowoc ended the quarter with cash and temporary investments of $69.9 million compared with $31.5 million at year-end 2015. Long-term debt was $269 million as of Dec 31, 2016 compared with $1,330 million as of Dec 31, 2015. The company reported cash used in operations of $122.4 million in 2016 compared with cash usage of $25.5 million in 2015.
2016 Performance
Manitowoc reported adjusted loss of 44 cents per share in 2016, compared with a loss of 36 cents per share recorded in the prior year. Earnings were in line with the Zacks Consensus Estimate of a loss per share of 44 cents. Including one-time items, the bottom line came in at a loss of $2.73 as against earnings of 48 cents recorded in 2015.
Revenues decreased 13.9% year over year to $1.61 billion from $1.87 billion in 2015. Revenues missed the Zacks Consensus Estimate of $1.63 billion.
Guidance
Manitowoc expects revenues to decline approximately 8–10% year over year in 2017. Adjusted operating income margin is anticipated to lie between 0 and 1%. Depreciation is projected at approximately $40–$45 million and amortization of intangibles at around $2–$2.5 million. Capital expenditures are projected at approximately $30 million.
Share Price Performance
In the last one year, Manitowoc has underperformed the Zacks classified Machinery-Construction/Mining sub-industry with respect to price performance. The stock lost around 52.4%, while the industry rose 50.9% over the same time frame.
Zacks Rank
Manitowoc currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the same sector are ABB Ltd , Altra Industrial Motion Corp. and Apogee Enterprises, Inc. (APOG - Free Report) .
Altra Industrial Motion also boasts a Zacks Rank #1 and has delivered an average positive earnings surprise of 8.06% for the trailing four quarters. Apogee, another Zacks Rank #1 stock, has an average positive earnings surprise of 13.24% for the past four quarters.
Zacks’ Best Private Investment Ideas
In addition to the recommendations that are available to the public on our website, how would you like to follow all Zacks' private buys and sells in real time?
Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors. Starting today, for the next month, you can have unrestricted access. Click here for Zacks' private trades >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Manitowoc (MTW) Posts Wider Loss in Q4, Sales Plunge Y/Y
The Manitowoc Company, Inc. (MTW - Free Report) reported fourth-quarter 2016 adjusted loss per share of 23 cents per share, as against an earnings of 5 cents reported in the year-ago quarter. Loss was much wider than the Zacks Consensus Estimate of a loss of 17 cents.
Including special items, the company posted a loss of 24 cents per share in the reported quarter. It had posted earnings of 32 cents per share a year ago.
The maker of cranes and restaurant equipment posted a 30% year-over-year plunge in sales to $378 million in the reported quarter. Revenues also missed the Zacks Consensus Estimate of $391 million.
Manitowoc Company, Inc. (The) Price, Consensus and EPS Surprise
Manitowoc Company, Inc. (The) Price, Consensus and EPS Surprise | Manitowoc Company, Inc. (The) Quote
Operational Update
Cost of sales declined 26.8% to $332.7 million in the quarter from $454.9 million in the prior-year quarter. Gross profit plummeted 48% year over year to $45.5 million. Additionally, gross margin contracted 400 basis points to 12%.
Engineering, selling and administrative expenses descended 19.7% year over year to $61.9 million. Adjusted operating loss was $16.4 million compared with a gain of $11.1 million in the year-ago quarter.
Backlog
Backlog was $323.8 million as of Dec 31, 2016 as against $353.6 million in third-quarter 2016. Fourth-quarter 2016 orders of $348.3 million fell 18% from the year-ago quarter.
Financial Updates
Manitowoc ended the quarter with cash and temporary investments of $69.9 million compared with $31.5 million at year-end 2015. Long-term debt was $269 million as of Dec 31, 2016 compared with $1,330 million as of Dec 31, 2015. The company reported cash used in operations of $122.4 million in 2016 compared with cash usage of $25.5 million in 2015.
2016 Performance
Manitowoc reported adjusted loss of 44 cents per share in 2016, compared with a loss of 36 cents per share recorded in the prior year. Earnings were in line with the Zacks Consensus Estimate of a loss per share of 44 cents. Including one-time items, the bottom line came in at a loss of $2.73 as against earnings of 48 cents recorded in 2015.
Revenues decreased 13.9% year over year to $1.61 billion from $1.87 billion in 2015. Revenues missed the Zacks Consensus Estimate of $1.63 billion.
Guidance
Manitowoc expects revenues to decline approximately 8–10% year over year in 2017. Adjusted operating income margin is anticipated to lie between 0 and 1%. Depreciation is projected at approximately $40–$45 million and amortization of intangibles at around $2–$2.5 million. Capital expenditures are projected at approximately $30 million.
Share Price Performance
In the last one year, Manitowoc has underperformed the Zacks classified Machinery-Construction/Mining sub-industry with respect to price performance. The stock lost around 52.4%, while the industry rose 50.9% over the same time frame.
Zacks Rank
Manitowoc currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the same sector are ABB Ltd , Altra Industrial Motion Corp. and Apogee Enterprises, Inc. (APOG - Free Report) .
ABB Ltd has delivered an average positive earnings surprise of 23.50% in the last four quarters. The company sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Altra Industrial Motion also boasts a Zacks Rank #1 and has delivered an average positive earnings surprise of 8.06% for the trailing four quarters. Apogee, another Zacks Rank #1 stock, has an average positive earnings surprise of 13.24% for the past four quarters.
Zacks’ Best Private Investment Ideas
In addition to the recommendations that are available to the public on our website, how would you like to follow all Zacks' private buys and sells in real time?
Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors. Starting today, for the next month, you can have unrestricted access. Click here for Zacks' private trades >>