JLG Q1 sales soar, profits slump
28 April 2022
JLG’s Q1 results for the three months ending March 31, 2022 saw revenues up 19.6 percent to $883.1 million compared to the same quarter last year, however profits took a -91 percent nosedive to $7.5 million compared to $80.5 million last year for the world’s largest access equipment manufacturer.
According to Oshkosh, JLG’s parent company, “The decrease was primarily due to higher material & logistics costs and higher manufacturing costs, largely associated with the implementation of manufacturing initiatives, offset in part by the impact of the higher sales volume and higher pricing in response to the higher input costs.”
Access equipment sales for Q1 were up more than 22 percent to $439.7 million and telehandlers sales saw a 31 percent boost to $229.7 million due to increased demand in North America, the company said. The company is also still battling a significant backlog of $4 billion, up 161 percent compared to the same period last year.
The company also updated its expectations for the full year, with JLG now anticipating $3.8 to $4.2 billion in sales.
Oshkosh CEO John Pfeifer said, “I am proud of the efforts of Oshkosh team members who worked hard and demonstrated great resolve to overcome very challenging conditions in our first quarter. Commodity prices showed steady improvement in the first half of the quarter, but significantly reversed course following the Russian invasion of Ukraine as steel and aluminium costs as well as freight costs increased rapidly. Additionally, we continued to experience supply chain disruptions and elevated workforce turnover that remain macro issues affecting many industries. Despite these headwinds, in response to the further cost inflation we are facing, we implemented additional surcharges in our Access Equipment and Commercial segments as well as pricing actions in the Fire & Emergency segment. Looking ahead, we are encouraged by the extremely strong demand and high order rates across our business segments, as evidenced by an all-time record backlog of over $12 billion at quarter end.”
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