JLG profit and sales leap
03 August 2023
JLG exprienced impressive rises in sales and profits in the second quarter of its 2023 financial year, partly aided by its recent acquisition of Hinowa and efforts to meet supply chain challenges.
Sales revenue increased 35.9% to $1.33 billion in the second quarter, compared to the same period last year. Apart from an increase in equipment sales, JLG’s parent company Oshkosh said it had increased the price of equipment in response to higher material costs and was now including sales from its acquisition of Italy-based spider lift manufacturer Hinowa, earlier this year, in the results.
JLG’s operating income in the second quarter increased by $191.2% to $211.7 million. The increase was again due to greater sales volume, higher pricing and the more varied product mix, said the company, offset in part by higher incentive payments and increased operating expenses to support the higher sales levels.
John Pfeifer, president and chief executive officer of Oshkosh Corporation, said, “In particular, our Access and Vocational segments both delivered double-digit operating margins in an environment where supply chains have improved but have not yet returned to historical norms.
“Our results demonstrate that our actions over the past several quarters to redesign, resource and dual source components as well as implement numerous operational improvements are enhancing our resiliency in a constrained supply chain environment.
Across the group Oshkosh reported sales of $2.41 billion, up 17% on the same quarter in 2023, leading to a backlog of $15 Billion a the end of the period.
As a result, Pfeifer said the company was increasing its expectations for 2023, with earnings per share to be in a range of $7.65 and 2023 adjusted earnings per share to be in a range of $8.00.
“We look forward to continuing our momentum through the rest of the year and believe we are well positioned for 2024 and beyond, given our strong backlog, leading technologies, positive market sentiment and the strength of our people,” said Pfeifer.
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