The Manitowoc Company (MTW) Q4 2022 earnings summary

Executive summary

• 2022 revenue rose 18.2% to $2,032.5 million, driven by acquisitions, higher volume and pricing; adjusted EBITDA was $143.1 million, with a 7.0% margin.

• Non-new machine sales grew 21.5% to $545.3 million; year-end backlog reached $1,056.0 million despite orders falling 3.3% to $2,095.5 million.

Financial highlights

• Net sales were $2,032.5 million, up 18.2% YoY; gross profit increased 18.7% to $364.5 million, while gross margin remained 17.9%.

• Reported operating loss was $93.0 million and net loss was $123.6 million, primarily reflecting a $171.9 million non-cash impairment charge; EPS was $(3.51).

• Adjusted EBITDA was $143.1 million versus $116.0 million in 2021; free cash flow was $15.1 million versus $35.8 million.

Outlook and guidance

• 2023 capital expenditures are expected at $65.0 million to $75.0 million, including ~$25.0 million funded by rental-fleet sales through rent-to-own programs and sales of older cranes; spending may be reduced if sales fall short.

• Supply-chain and logistics constraints were expected to persist through 2023; continuing inflation and higher interest rates could pressure margins and customer demand.

• CRANES + 50 targets non-new machine sales of ~$675 million by 2026, 50% above the 2021 baseline of $448.6 million.