Manitou Group, manufacturer of rough terrain handling equipment for agriculture and construction, posted year-over-year sales revenue growth of 18% during 2018. Overall, the group reported net sales of €1,884 million ($2,118 million) during the year vs. sales of €1,591 ($1,789 million) in 2017.
Manitou’s operating income was €129 million ($145 million), or 6.9% of net sales, compared to €95 million ($107 million) in the previous year. Net income in 2018 came in at €84 million ($94.5 million) vs. €60 million ($67.5 million) in 2017.
The Material Handling & Access Division (MHA) reported sales of €1,294 million in 2018 compared to €1,095 million in 2017, a growth of +18%. Over the financial year, the division's current operating income rose by 31% to reach the €100.0 million threshold and represented 7.7% of revenue, up 80 basis points compared to 2017.
The Compact Equipment Products Division (CEP) reported sales of €314 million ($353 million) in 2018, an increase rise of 28% vs. the previous year. Operating in the U.S. with a significant shortage of labor and customs tariff increase, the division has nevertheless successfully delivered the group's strongest growth and significantly improved its profitability. Recurring operating income is set at €9.4 million ($10.6 million), representing 3% of revenue compared to 0% in 2017.
With sales revenues of €276 million ($310 million), the Services & Solutions Division (S&S) recorded a 10% sales increase in its activity compared to the previous year. All the division's activities are progressing, with a more constrained margin level for the distribution of spare parts. The division's recurring operating income improved from €19.3 million ($21.7 million) in 2017 to €20 million ($22.5 million) in 2018, representing 7.2% of revenue.
Manitou Group expects an increase of about 10% in sales revenues, at constant exchange rates, and an improvement in recurring operating income of around 40 base points, equivalent to approximately 7.3% of sales revenues.