Manitou 1H26:5% sales beat,10% EBIT beat; outlook raised

Research evidence excerpt

Manitou 1H26:5% sales beat,10% EBIT beat; outlook raised

ts and attachments by 1% yoy. Europe was the main growth driver, with sales up 17%

yoy, supported by rental and agricultural demand and market share gains. Meanwhile, sales declined by 8% yoy in North America and 9% yoy

in LAPAM due to lower machine volumes, tariffs, adverse FX, competitive pressure and geopolitical disruption.

At the same time, Manitou’s gross margin increased by c.20bp yoy to 17.6%, while its recurring operating margin expanded by 100bp yoy to

6.1% in 1H26, supported by higher volumes, purchasing performance, improved industrial efficiency and good cost control, despite pressure

on selling prices and a €12m negative impact from tariffs. At the group level, recurring operating profit reached €86.6m, up 33% yoy and

c.10% ahead of consensus. The performance was highly polarized geographically, with Europe’s recurring operating profit rising by 57% to

€108m and its margin expanding by 230bp yoy to 9.0%, while North America’s recurring operating loss widened to €22m, equivalent to a

-9.3% margin (down 390bp yoy), and LAPAM’s recurring operating profit declined to €3m, or a 2.2% margin (-400bp yoy).

With slightly lower non-recurring charges, a stable contribution from associates, a €4m improvement in the net financial result and a lower

effective tax rate, Manitou’s group net income increased by 57% yoy to €51.3m. EPS reached €1.34, versus €0.85 in 1H25.

Net debt excluding IFRS 16 declined to €186m from €212m at FY25, resulting in net debt/EBITDA of 0.8x. Including IFRS 16 lease liabilities,

net debt stood at €224m, down from €244m at FY25. It is worth noting that the €29m dividend approved in June was paid on 1 July and was

therefore not reflected in the end-June net debt position.