MTW

Image source: The Motley Fool. Friday, August 7, 2026 at 10:00 a.m. ET Senior Vice President of Marketing and Investor Relations - Ion Warner President and Chief Executive Officer - Aaron Ravenscroft Executive Vice President and Chief Financial Officer - Brian Regan Operator: Good day, and welcome to The Manitowoc Company Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Ion Warner, Senior Vice President of Marketing and Investor Relations. Please go ahead. Ion Warner: Good morning, everyone, and welcome to our earnings call to review the company's second quarter 2026 financial performance and business update as outlined in last evening's press release. Joining me this morning with prepared remarks are Aaron Ravenscroft, our President and Chief Executive Officer, and Brian Regan, our Executive Vice President and Chief Financial Officer. Earlier this morning, we posted our slide presentation to the Investor Relations section on our website www.manitowoc.com which you can use to follow along with our prepared remarks. Please turn to Slide 2. Please note our safe harbor statement in the material provided for this call. During this call, forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995 are made based on the company's current assessment of its markets and other factors that affect its business. However, actual results could differ materially from any implied or actual projections due to one or more of the factors, among others, described in the company's latest SEC filings. The Manitowoc Company does not undertake any obligation to update or revise any forward-looking statement, whether the result of new information, future events, or other circumstances. And I'll now turn the call over to Aaron. Aaron Ravenscroft: Thank you, Ion, and good morning, everyone. Please turn to Slide 3. The Manitowoc team delivered great results in the second quarter. Sales increased 10%, and adjusted EBITDA increased over 85% versus last year. I'd like to recognize the team's hard work and resilience in navigating what has been a challenging operating environment over the last few years. As Brian will discuss, our core financial performance was among the strongest quarters that we've achieved in recent years, and we are increasing our full-year guidance to reflect the strengthening Crane market. The second quarter marked a number of wins. Number one, safety is the top priority at Manitowoc. Following a slower start of the year, our year-to-date recordable rate improved substantially to 0.79. Number two, we generated strong orders, expanded backlog, increased non-new machine sales, and got our net leverage below our target of 3x. Number three, we started to meaningfully integrate artificial intelligence into The Manitowoc Way. And lastly, number 4, the U.S. Department of Commerce and International Trade Commission confirmed that Japanese crawler crane manufacturers were dumping and took action to level the playing field, applying import tariffs ranging from 12% to 20%. All around, it was a great quarter. A huge thank you to the Manitowoc team. Your hard work paid off. Please turn to Slide 4. We continue to expand the reach of The Manitowoc Way with a focus on the aftermarket business. In addition, we are now leveraging AI to accelerate Kaizen. Recently, we advanced 2 great initiatives that helped get the flywheel moving in these areas. First in July, we held our annual Global Kaizen on our new 8-axle all-terrain crane, which is one of the largest and most complex products we've ever designed. The original objective of the Kaizen was to improve safety and increase productivity for our customers in the field. Remember, these massive machines need to be disassembled for transport and reassembled at the next site. We focused on critical lifting procedures and rigging requirements. During the process, we identified additional opportunities to expand our aftermarket product offering for all-terrain cranes to include standardized rigging kits and ancillary products. We have invested over 100,000 engineering hours in developing this crane, so it is a natural extension to engineer the required rigging equipment into purpose-built service kits. In addition to improving safety, these aftermarket kits will help our customers set up the machine faster in the field. Time is money for our customers. A big thank you to our customers and suppliers that participated in the Kaizen. You are a huge help. In addition, we started to integrate AI into The Manitowoc Way. At the start of the quarter, we presented a first-ever Lessons Learned Award for AI to the French Potain aftermarket team for developing Potain eTech, an AI agent designed to support tower crane field service techs and improve their effectiveness when fixing cranes. While this is in the early stages, it's an AI tool that we can model for our mobile cranes. We've also taken a structured approach to develop Manitowoc's AI capabilities. I held discussions with our Copilot users to better understand how folks are using the tool today and identify opportunities to apply AI in a systematic way. As shown on Slide 5, these are just a few examples of how the team is using AI at Manitowoc. Many of our users are early adopters who have been largely training themselves on AI. As a result, we are taking several actions to accelerate our deployment. Number one, we incorporated AI into our Lessons Learned program to help promote great AI ideas across the enterprise. Number two, we are creating AI training tools to accelerate our user base. In fact, we doubled our users to over 450 this quarter. Number three, we created global AI user groups by function. For our institutional analysts listening to this call, to me, this was like learning how to model an Excel 25 years ago. Hopefully, a coworker could help to teach you a few shortcuts. We needed to create an environment where folks could collaborate. Number four, we are integrating AI into our daily Manitowoc Way activities. Every Manitowoc Way leader is becoming a super user, and they are required to complete at least 1 AI Kaizen per month. This will naturally lead us to create cross-functional teams to tackle problems. And number 5, we are in the process of scoping some larger projects using AI agents for engineering and aftermarket services. Please move to Slide 6. Turning to our Cranes+50 strategy, our non-new machine sales set another record. Non-new machine sales grew 7% year-over-year for the quarter and broke the $700 million mark on a trailing 12-month basis. On our last call, I stated that we needed to drive 4 major buckets to grow our non-new machine sales. Number one, adding more service locations. Number two, growing the number of aftermarket salespeople and field service techs. Number three, increasing sales of complementary lifting accessories. Number four, leveraging technology. During the second quarter, we saw great results in Latin America from driving these 4 Cranes+50 initiatives. In 2023, we established a greenfield operation in Peru to pursue service work with mining customers. As a result, we recently were awarded a 3-year, $2.5 million service contract at one of the world's largest copper-zinc mines. This is exactly what our Cranes+50 strategy is all about. In addition, during the quarter, we launched 2 initiatives at our Shady Grove campus to support our aftermarket activities. First, we opened our rapid response shop to provide faster turnaround on critical aftermarket components such as lacings for crawler cranes and structural repairs for tower crane masts. Second, we established a center of excellence for refurbishing booms on the East Coast. The team developed a specialized fixture, affectionately known as the Boominator that improves safety and productivity for disassembling and reassembling booms. We plan to replicate this fixture at key MGX locations and other global service centers. Please turn to Slide 7. With orders over $700 million this quarter, as you would imagine, the global crane market is fairly strong. Starting with the Americas, the underlying market conditions have remained healthy. Crane utilization remains very high, and dealer inventories are getting pretty lean. Orders from our traditional dealer channel were particularly strong in the quarter as folks replenish inventory, while activity in our MGX business remained relatively stable. As an interesting data point, our ENCORE rebuild business has been slow because crane owners have simply been unwilling to give up their machines. This is a great sign of how strong utilization is in the United States. In conclusion, customer sentiment across North America remains positive, supported by solid end-market activity and healthy fleet utilization. In Europe, the market environment remains mixed with positive developments offset by ongoing challenges. During the quarter, 2 notable trends emerged. Number one, the German government announced additional measures aimed at stimulating economic growth, including tax relief initiatives. And two, the conflict in Iran is creating inflationary pressures across the region. Against this backdrop, our performance was encouraging. Our mobile crane business delivered strong order growth during the quarter. In tower cranes, orders declined modestly year-over-year, but this was entirely attributable to our self-erecting cranes, which are transitioning to the new EN standards in January. We saw accelerated demand the last couple of quarters on a few models, and our build schedule for these models is sold out for the remainder of the year. We continue to see signs of stabilization in key markets, and the tower crane market continues to have strong momentum. In the Middle East, the second quarter was largely consistent with the first. Despite the Iran conflict, customer demand remained solid. While shipments through the Strait of Hormuz have stopped, folks have found alternative shipping routes. That said, a prolonged period of regional instability could eventually affect economic activity and customer investment decisions. For now, we remain cautiously optimistic as customer engagement remains strong, and there appears to be meaningful pent-up demand that could support future equipment purchases once uncertainty subsides. Ending with Asia, the story pretty much remains the same as the first quarter. South Korea is experiencing robust demand driven by the semiconductor industry. Vietnam and Australia continue to be 2 strong markets for us, and we see general strength in the region well into 2027. With that, I'll hand it over to Brian to walk you through the financials before I make a few closing remarks. Brian Regan: Thanks, Aaron, and good morning, everyone. Please turn to Slide 8. Our second quarter results exceeded expectations, driven by improved operational execution, along with the net impact of tariffs. As Aaron mentioned, orders were strong, with a 1.2 book-to-bill supporting a meaningful increase in our backlog. Additionally, our aftermarket business continued to perform well during the quarter. As a result, we are increasing our full-year guidance, which I'll walk through later in my commentary. Moving to the numbers, we had orders of $709 million in the second quarter, an increase of 56% from a year ago. Backlog ended at $1.05 billion, up $110 million from last quarter, and up $321 million from a year ago. Approximately $750 million of the backlog is expected to ship this year. Q2 net sales were $595 million, an increase of $55 million, or 10% from a year ago. Non-new machine sales were $172 million in the quarter, up 6% year-over-year, and on a trailing 12-month basis reached a record $706 million. SG&A expenses were $90 million in the quarter. On an adjusted basis, SG&A expenses were $88 million, or 15% of net sales, 130 basis points lower than a year ago. Adjusted EBITDA for the second quarter nearly doubled year-over-year to $49 million compared with $26 million in the prior year. As a percentage of sales, EBITDA margin expanded 330 basis points to over 8%. The year-over-year improvement was driven by excellent operational execution and a net benefit from tariffs. During the quarter, our cash flow benefited from $26 million of cash received related to IEEPA tariff refunds. From a P&L perspective, there are a lot of moving pieces, but the net year-over-year benefit was $9 million during the quarter. This was comprised of a net benefit of $12 million related to the refund and a year-over-year headwind of $3 million in additional tariff costs. I will get into the full-year impact later when discussing the updated guidance. Please turn to Slide 9. Net working capital ended the quarter at $567 million, improving 280 basis points year-over-year as a percent of trailing 12-month sales. Cash flow from operating activities in the quarter was $8 million. Capital expenditures were $14 million in the quarter, including $9 million for our rental fleet. As a result, our free cash flow was a use of $6 million, an improvement of $68 million from the prior year. As a reminder, in Q2 last year, we paid $43 million related to the EPA settlement. We ended the quarter with $96 million in cash. Total liquidity at quarter-end was $304 million, and our net leverage ratio was approximately 2.6x. This was below our target of 3x as a result of our stronger first-half performance. Please turn to Slide 10. We are updating our guidance and expect full-year net sales of $2.3 billion to $2.4 billion, adjusted EBITDA of $150 million to $170 million, adjusted diluted earnings per share of $0.80 to $1.20, and free cash flow of $50 million to $70 million. Please turn to Slide 11. We've included a bridge from our previous midpoint of adjusted EBITDA guidance of $137.5 million to our updated midpoint of $160 million. The bridge reflects the flow-through of the $50 million increased revenue guide at the midpoint, the net impact of tariffs, and variable compensation. While ongoing tariffs are not expected to materially change, the net impact to adjusted EBITDA of the tariff refunds is expected to be $16 million. Additionally, with the improved results, we expect variable compensation to increase. The total impact of these items is $22.5 million at the midpoint. The risk associated with the conflict in Iran is considered in our guidance range. With that, I'll turn the call back to Aaron. Aaron Ravenscroft: Thank you, Brian. Please turn to Slide 12. To conclude, the global crane market has been remarkably resilient despite the geopolitical environment. The proof is in the pudding. First quarter orders approached $650 million, and second quarter orders exceeded $700 million. As a reminder, July and August are typically slower months due to seasonality and the European holiday period. Even so, our backlog is over $1 billion, and customer sentiment around the world remains pretty darn strong. Importantly, we have yet to see a meaningful contribution from the oil and gas or mining sectors despite higher commodity prices. At the same time, we expect strong demand from the data center and semiconductor investments to continue well into 2027. Bottom line, the fundamentals of our business remain solid. As we continue to launch new machines, execute on our Cranes+50 strategy, and drive continuous improvement through The Manitowoc Way, I believe we are well-positioned to create long-term value for our customers and shareholders. Please turn to Slide 13. Before we close, I would like to recognize Kevin and Dana Simmers and our friends at Brooke's House, a recovery center in Hagerstown, Maryland, that helps women overcome substance abuse. Manitowoc has developed a special relationship with Brooke's House over the years. Beyond our financial support, many Brooke's House graduates have become Manitowoc employees at our Shady Grove facility. Last year, a film titled Clean Hands was produced to tell the story of Kevin and Dana's daughter, Brooke, who succumbed to addiction. The film recently secured a distribution deal following its premiere at the Tribeca Film Festival. We extend our congratulations to Kevin, Dana, and Charlene Kane at Brooke's House. Their work continues to change lives and strengthen our community. Please watch the movie. It supports a great cause. With that, operator, please open the line for questions. Operator: [Operator Instructions] Our first question comes from Jerry Revich with Wells Fargo. Andrew Azzi: This is Andrew Azzi on for Jerry. Congrats on a great quarter, by the way. You know, maybe I want to start off with, would you be able to help us out in terms of disaggregating the great 56% year-over-year growth in orders between your various regions, you know, U.S., Canada, Lat Am, Europe, and anything else of note? You know, how much of that reflected dealer stocking or orders tied to specific projects? We'd love to get some more color there. Brian Regan: Yes, I mean, I don't think we share much more color than what we put into the script in terms of actual percentages, but I think we pretty well outlined, you know, there's good strength in the U.S. Definitely dealers were replenishing, although dealer inventory is still on the low side, we feel like. But yes, demand has been pretty strong everywhere. Andrew Azzi: Great. You know, given the updated guidance, how can we think about the cadence of revenue and EBITDA through the second half, and what kind of incremental margins can we underwrite in that same period and maybe into '27? Brian Regan: Yes, as I'm sure you know, we have our normal seasonality with Q3 being lighter because of the European holiday. With that said, we do expect about $4 million of incremental tariff benefit in Q3, because some of its hung up on the balance sheet. But, you know, the normal seasonality outside of that $4 million is what you can expect. Operator: [Operator Instructions] At this time, there are no questions. I'd like to hand it back to Ion Warner to take questions from submissions. Ion Warner: Thank you. I received a few e-mails, questions. One question is, please provide the IEEPA tariff bridge of $26 million to the $12 million year-over-year benefit. Brian Regan: And I'll take that Ion. So as we mentioned in our prepared remarks, we received $26 million of refunds and we recognized $12 million in operating income during the quarter. As I mentioned, we have another $4 million coming in Q3. And then when reconciling to the other $10 million, we have some amounts that we're going to refund to customers. We have some corrections of previously recognized tariff costs. And then we also recognized about $1 million in interest income during the quarter. Ion Warner: Okay, next question I received is that now that your net leverage is below 3x, how do you view your capital allocation strategy? Aaron Ravenscroft: So I'll take that one. We feel much better about our balance sheet. I mean, this is where we've really been focused in terms of the business and managing our cash and our CapEX just to get to this point. So happy to be below 3x, and anytime we're below 3x, you know, we're opportunistically looking for share repurchases as well as we're looking for acquisitions. So happy to be where we are. Ion Warner: Okay. I received another question. What are your July orders like? Aaron Ravenscroft: Yes, July was another great month. We're over $200 million. So that's normally a slow month for us. We'll have to wait and see how August plays out. But usually, September is a good sign for what the cadence will look like as we get into the fourth quarter. Ion Warner: Got it. There are no further questions by e-mail. Bailey, anything on your end? Operator: There are no further questions on the audio line. Ion Warner: Okay. Please note that a replay of our second quarter 2026 earnings call will be available later this morning by accessing the Investor Relations section of our website at www.manitowoc.com. Thank you, everyone, for joining us today and for your continued interest in The Manitowoc Company. We look forward to speaking with you again next quarter. Operator: The conference is now concluded. Thank you for attending today's presentation. You may now disconnect. 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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Manitowoc (MTW) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in The Manitowoc Company, Inc.? Here are five stocks we like better. Manitowoc delivered a strong second quarter: Sales rose 10% year over year to $595 million, while adjusted EBITDA nearly doubled to $49 million and margins expanded to above 8%. Demand and backlog strengthened significantly: Orders jumped 56% to $709 million, backlog reached $1.05 billion, and July orders exceeded $200 million despite being seasonally slower. The company raised its 2026 outlook for sales, adjusted EBITDA, earnings per share and free cash flow, with tariff refunds contributing to results and strong data-center and semiconductor demand expected to continue. Caterpillar, Terex, Manitowoc Near Buy Points As Building Booms Manitowoc (NYSE:MTW) reported higher second-quarter sales, orders and adjusted EBITDA, citing strong crane demand, improved operating execution and a net benefit from tariff-related items. The company raised its full-year outlook for sales, adjusted EBITDA, earnings per share and free cash flow. Second-quarter net sales increased 10% from a year earlier to $595 million. Adjusted EBITDA nearly doubled to $49 million from $26 million in the prior-year period, while adjusted EBITDA margin expanded 330 basis points to more than 8% of sales. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling “The Manitowoc team delivered great results in the second quarter,” President and Chief Executive Officer Aaron Ravenscroft said. He said the company’s core financial performance was among its strongest quarterly performances in recent years. Orders totaled $709 million in the second quarter, up 56% from a year earlier, producing a book-to-bill ratio of 1.2. Backlog ended the quarter at $1.05 billion, increasing $110 million sequentially and $321 million from the prior year. The company expects approximately $750 million of backlog to ship during 2026. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Ravenscroft said crane utilization remained high in North America and dealer inventories had become lean, supporting strong orders from the traditional dealer channel as dealers replenished inventory. Activity in the company’s MGX business was relatively stable, he said. In Europe, Manitowoc described market conditions as mixed. Its mobile crane business generated strong order growth, while tower crane orders declined modestly year over year because of a transition in self-erecting cranes to new EN standards scheduled for January. Ravenscroft said certain models had seen accelerated demand in recent quarters and their production schedules were sold out for the rest of the year. → No Hangover: Revisiting Microsoft One Week After Earnings The company also cited robust demand in South Korea tied to the semiconductor industry, along with continued strength in Vietnam and Australia. Ravenscroft said Manitowoc sees broad regional strength extending into 2027. During the question-and-answer session, Ravenscroft said July orders exceeded $200 million, despite July typically being a slower month for the business. Non-new machine sales, which include aftermarket-related business, increased 6% year over year to $172 million in the quarter. On a trailing 12-month basis, those sales reached a record $706 million. The company continued to pursue its CRANES+50 strategy, which includes expanding service locations, adding aftermarket salespeople and field technicians, increasing sales of lifting accessories and using technology to support operations. Ravenscroft highlighted a three-year, $2.5 million service contract awarded to Manitowoc’s Peru operation at a copper-zinc mine. The company opened the Peru operation in 2023 to pursue service work with mining customers. Manitowoc also opened a rapid-response shop at its Shady Grove campus to speed turnaround on critical aftermarket components and established an East Coast center of excellence for boom refurbishment. The company developed a specialized fixture, known internally as the “Boominator,” designed to improve safety and productivity in disassembling and reassembling booms. Manitowoc plans to replicate the fixture at selected MGX and global service locations. Executive Vice President and Chief Financial Officer Brian Regan said the year-over-year improvement in adjusted EBITDA reflected operational execution and the net impact of tariffs. The company received $26 million in cash tied to IEEPA tariff refunds during the quarter. Of that amount, Manitowoc recognized a $12 million benefit in operating income during the second quarter. The company expects another $4 million of tariff-related benefit in the third quarter. Regan said the remaining amounts relate to expected customer refunds, corrections to previously recognized tariff costs and approximately $1 million of interest income recognized during the quarter. The company said the net year-over-year tariff benefit to profit in the second quarter was $9 million, consisting of the $12 million refund-related benefit offset by $3 million of additional tariff costs. For the full year, the net adjusted EBITDA impact of tariff refunds is expected to be $16 million. Manitowoc generated $8 million of operating cash flow in the quarter and reported free cash flow usage of $6 million, an improvement of $68 million from the prior-year period. Capital expenditures were $14 million, including $9 million for the rental fleet. The company ended the quarter with $96 million in cash and total liquidity of $304 million. Net leverage declined to approximately 2.6 times, below the company’s target of three times. Ravenscroft said the company would opportunistically consider share repurchases and acquisitions while leverage remains below that threshold. Manitowoc raised its 2026 outlook and now expects: Net sales of $2.3 billion to $2.4 billion Adjusted EBITDA of $150 million to $170 million Adjusted diluted earnings per share of $0.80 to $1.20 Free cash flow of $50 million to $70 million Regan said the updated midpoint adjusted EBITDA outlook increased to $160 million from $137.5 million previously, reflecting higher expected revenue, tariff effects and higher anticipated variable compensation. He added that the guidance range accounts for risks related to the conflict in Iran. Ravenscroft said the company has not yet seen a meaningful contribution from oil and gas or mining end markets despite higher commodity prices, but expects demand related to data centers and semiconductor investment to remain strong through 2027. The Manitowoc Company, Inc (NYSE: MTW) is a global manufacturer of heavy-lift cranes and lifting equipment. The company's product portfolio includes tower cranes marketed under the Potain brand, mobile hydraulic cranes sold under the Grove, Manitowoc and National Crane names, and engineered lifting solutions such as mast climbers and platform hoists. Manitowoc serves a wide range of industries, including construction, infrastructure, energy and industrial markets. Headquartered in Milwaukee, Wisconsin, Manitowoc operates manufacturing facilities, sales offices and rental centers across North America, Europe, Asia, Latin America and the Middle East. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Manitowoc Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by a strengthening global crane market, with orders exceeding $700 million and a book-to-bill ratio of 1.2. Operational execution and the net impact of tariff refunds significantly expanded adjusted EBITDA margins by 330 basis points year-over-year. The U.S. Department of Commerce confirmed dumping by Japanese crawler crane manufacturers, resulting in import tariffs of 12% to 20% to level the competitive field. Non-new machine sales reached a record $706 million on a trailing 12-month basis, supported by the Cranes+50 strategy and a new greenfield service operation in Peru. Management is systematically integrating AI into 'The Manitowoc Way' to accelerate Kaizen events and improve field service effectiveness for tower cranes. High crane utilization in the U.S. has paradoxically slowed the ENCORE rebuild business as owners are currently unwilling to take machines out of service. Market strength in Asia is being sustained by robust semiconductor industry demand in South Korea and general growth in Vietnam and Australia. Full-year guidance was increased to reflect a $50 million rise in revenue expectations at the midpoint and a $16 million net benefit from tariff refunds. Management expects strong demand from data center and semiconductor investments to persist well into 2027, while mining and oil and gas sectors have yet to contribute meaningfully. The guidance range accounts for potential regional instability in the Middle East, though current demand remains solid despite shipping route adjustments. Tower crane demand in Europe faces a temporary transition as self-erecting models move to new EN standards in January, with current build schedules already sold out. Capital allocation will shift toward opportunistic share repurchases and potential acquisitions now that net leverage has fallen below the 3x target. The company received $26 million in IEEPA tariff refunds, of which $12 million was recognized in operating income during the second quarter. A 3-year, $2.5 million service contract at a major copper-zinc mine in Peru validates the greenfield expansion strategy for aftermarket services. Safety performance improved to a recordable rate of 0.79 following a slower start to the year. Inflationary pressures in Europe are being exacerbated by the ongoing conflict in Iran, creating a mixed macroeconomic environment. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management noted broad strength across regions, specifically highlighting U.S. dealer replenishment despite inventory levels remaining lean. The 56% year-over-year order growth was supported by high utilization rates that encourage fleet expansion. Q3 is expected to follow normal seasonal patterns due to European holidays, but will include a $4 million incremental tariff benefit. Variable compensation is expected to increase in the second half due to the improved full-year financial results. July orders exceeded $200 million, which management characterized as a 'great month' for a typically slow seasonal period. September is identified as the key indicator for the demand cadence heading into the fourth quarter.

This article first appeared on GuruFocus. Orders: $709 million in Q2 2026, up 56% year-over-year. Backlog: $1.05 billion at quarter end, up $110 million from last quarter and up $321 million year-over-year. Net Sales: $595 million in Q2 2026, up 10% year-over-year. Non-New Machine Sales: $172 million in the quarter, up 6% year-over-year; trailing 12-month sales reached a record $706 million. Adjusted EBITDA: $49 million in Q2 2026, up from $26 million in the prior year; margin expanded 330 basis points to over 8%. SG&A Expenses: $90 million in the quarter; adjusted SG&A was $88 million, or 15% of net sales, 130 basis points lower year-over-year. Net Working Capital: $567 million at quarter end, improving 280 basis points year-over-year as a percent of trailing 12-month sales. Cash Flow from Operating Activities: $8 million in the quarter. Capital Expenditures: $14 million in the quarter, including $9 million for a rental fleet. Free Cash Flow: A use of $6 million in the quarter, an improvement of $68 million from the prior year. Cash and Liquidity: Ended the quarter with $96 million in cash and total liquidity of $304 million. Net Leverage Ratio: Approximately 2.6 times, below the target of 3 times. Full Year 2026 Guidance: Net sales of $2.3 billion to $2.4 billion; adjusted EBITDA of $150 million to $170 million; adjusted diluted EPS of $0.80 to $1.20; free cash flow of $50 million to $70 million. Warning! GuruFocus has detected 9 Warning Signs with MTW. Is MTW fairly valued? Test your thesis with our free DCF calculator. Release Date: August 07, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Sales increased 10% and adjusted EBITDA surged over 85% year-over-year, marking one of the strongest quarters in recent years. Orders reached $709 million, a 56% increase from the prior year, with backlog expanding to $1.05 billion, up $321 million year-over-year. Non-new machine sales hit a record $706 million on a trailing 12-month basis, driven by strong aftermarket performance and strategic initiatives like the Peru service contract. Net leverage improved to 2.6 times, below the target of 3 times, enhancing financial flexibility for potential share repurchases and acquisitions. The company raised full-year guidance, reflecting strengthening crane market conditions and a net benefit from tariff refunds. The conflict in Iran is creating inflationary pressures in Europe and poses risks to economic activity and customer investment decisions in the Middle East. Tower crane orders declined modestly year-over-year due to the transition to new EN standards, impacting self-erecting crane demand. Free cash flow was negative at $6 million in the quarter, though improved by $68 million year-over-year. The company faces ongoing tariff costs, with a $3 million year-over-year headwind in Q2 and potential future impacts from the Iran conflict. July and August are typically slower months due to seasonality and European holidays, which could temper near-term order momentum. Q: Can you disaggregate the 56% year-over-year growth in orders by region and how much reflected dealer stocking or specific projects? A: Aaron Ravenscroft, President and CEO, noted that while specific regional percentages were not shared, there was strong demand across all regions. In the US, dealers were replenishing inventory, though dealer inventory levels remain on the low side, indicating continued strength in underlying demand. Q: How should we think about the cadence of revenue and EBITDA through the second half, and what incremental margins can we expect into 2027? A: Aaron Ravenscroft, President and CEO, explained that normal seasonality will apply, with Q3 being lighter due to the European holiday period. He added that an additional $4 million of incremental tariff benefit is expected in Q3, as some refunds are still on the balance sheet, but aside from that, normal seasonal patterns should be expected. Q: Can you provide the IEPA tariff bridge from the $26 million received to the $12 million year-over-year benefit? A: Brian Regan, CFO, detailed that of the $26 million in refunds received, $12 million was recognized in operating income during the quarter. An additional $4 million is expected in Q3. The remaining $10 million is allocated to refunds to customers, corrections of previously recognized tariff costs, and approximately $1 million in interest income recognized during the quarter. Q: Now that net leverage is below three times, how do you view your capital allocation strategy? A: Aaron Ravenscroft, President and CEO, stated that the company feels much better about its balance sheet and is happy to be below the three times target. The company will continue to be opportunistic regarding share repurchases and acquisitions, while maintaining a focus on cash management and capex discipline. Q: What are your July orders like? A: Aaron Ravenscroft, President and CEO, reported that July was another great month with orders exceeding $200 million, which is typically a slow month due to seasonality. He noted that September will be a good indicator of the order cadence heading into the fourth quarter. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Second-Quarter 2026 Highlights Orders of $708.7 million, up 56.1% year-over-year. Backlog of $1,050.1 million at quarter end Net sales of $594.9 million, up 10.3% year-over-year Non-new machine sales of $172.2 million, up 6.6% year-over-year Adjusted EBITDA of $48.9 million, up 85.9% year-over-year, with significant margin expansion of 330 basis points Cash flows provided by operating activities of $8.0 million; up $75.7 million year-over-year MILWAUKEE, August 06, 2026--(BUSINESS WIRE)--The Manitowoc Company, Inc. (NYSE: MTW) (the "Company" or "Manitowoc") today reported second-quarter net income of $14.2 million, or $0.39 per diluted share. Second-quarter adjusted net income(1) was $16.8 million or $0.46 per diluted share. Orders in the second quarter were $708.7 million, a 56.1% increase from the prior year, resulting in backlog of $1,050.1 million at the end of the quarter. Net sales in the second quarter were $594.9 million, an increase of 10.3% from the prior year. Non-new machine sales were $172.2 million, an increase of 6.6% year-over-year. Adjusted EBITDA(1) was $48.9 million, an increase of 85.9% from the prior year. "Our second quarter results exceeded our expectations. Net sales increased 10% year-over-year, and adjusted EBITDA grew 86% year-over-year. Customer sentiment remained positive, as strong quoting activity translated into higher order intake across our business. I am extremely pleased with the team’s performance across the business and the continued momentum in non-new machine sales," commented Aaron H. Ravenscroft, President and Chief Executive Officer of The Manitowoc Company. "Looking ahead, we remain focused on executing our CRANES+50 strategy and continue to see opportunities for growth. While the market environment remains dynamic, we believe our disciplined approach, strong customer relationships, and strategic initiatives position Manitowoc well for the remainder of 2026," concluded Ravenscroft. Updated Full-Year 2026 Guidance The Company’s updated guidance, and a comparison to its prior guidance, is summarized in the table below. The guidance set forth above constitutes forward-looking information and is subject to the risks and uncertainties described under "Forward-Looking Statements" below and in the Company's filings with the Securities and Exchange Commission. Investor Conference Call The Manitowoc Company will host a conference call for security analysts and institutional investors to discuss its second-quarter 2026 earnings results on Friday, August 7, 2026, at 10:00 a.m. ET (9:00 a.m. CT). Shareholders and prospective investors are encouraged to submit questions in advance to [email protected]. A live audio webcast of the call, along with the related presentation, will be available via webcast on the Manitowoc website at http://ir.manitowoc.com in the "Events & Presentations" section. A replay of the conference call will also be available at the same location on the website. About The Manitowoc Company, Inc. The Manitowoc Company, Inc. ("Manitowoc" or the "Company") was founded in 1902, and is headquartered in Milwaukee, Wisconsin, United States. Manitowoc, through its wholly-owned subsidiaries, provides high quality, customer-focused lifting products and services world-wide through its Grove, Manitowoc, National Crane, Potain, Shuttlelift, and Upfits by Aspen Equipment brands and its support-focused subsidiary MGX Equipment Services. For more information, visit www.manitowoc.com. Footnote (1)Adjusted net income (loss), adjusted diluted net income (loss) per share ("Adjusted DEPS"), EBITDA, adjusted EBITDA, adjusted operating income, adjusted return on invested capital ("Adjusted ROIC"), and free cash flows are financial measures that are not in accordance with U.S. GAAP. For definitions and a reconciliation to the most comparable U.S. GAAP numbers, please see the schedule of "Non-GAAP Financial Measures" at the end of this press release. Forward-looking Statements This press release includes "forward-looking statements" intended to qualify for the safe harbor from liability under the Private Securities Litigation Reform Act of 1995. Any statements contained in this press release that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations of the management of the Company and are subject to uncertainty and changes in circumstances. Forward-looking statements include, without limitation, statements typically containing words such as "intends," "expects," "anticipates," "targets," "estimates," and words of similar import. By their nature, forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results and developments to differ materially include, among others: macroeconomic conditions, including inflation, elevated interest rates, and tariffs, as well as prior supply chain, labor and logistics constraints, have had, and may continue to have, a negative impact on Manitowoc’s ability to convert backlog into revenue (the timing of sales) which could impact, and has impacted, its financial condition, cash flows, and results of operations (including future uncertain impacts); uncertainty regarding, and adverse changes to, trade policy, including tariffs, reciprocal tariffs, trade agreements, ongoing negotiations on trade agreements with additional trade partners, legal challenges to certain tariffs authorities, updated guidance from regulators, export duties, import controls and trade barriers (including quotas); actions of competitors; changes in economic or industry conditions generally or in the markets served by Manitowoc; geopolitical events, including the ongoing conflicts in Ukraine and in the Middle East, other political and economic conditions and risks and other geographic factors, have led to and may continue to lead to market disruptions, including volatility in commodity prices (including oil and gas), raw material and component costs, energy prices, inflation, consumer behavior, supply chain, and credit and capital markets, and could result in the impairment of assets; changes in customer demand, including changes in global demand for high-capacity lifting equipment, changes in demand for lifting equipment in emerging economies and changes in demand for used lifting equipment including changes in government approval and funding of projects; the ability to convert backlog, orders, and order activity into sales and the timing of those sales; the ability to focus on customers, new technologies, and innovation; uncertainties associated with new product introductions, the successful development and market acceptance of new and innovative products that drive growth; failure to comply with regulatory requirements related to the products and aftermarket services the Company sells; the ability to capitalize on key strategic opportunities and the ability to implement Manitowoc’s long-term initiatives; the ability of Manitowoc's customers to receive financing; risks associated with high debt leverage; impairment of goodwill and/or intangible assets; changes in revenues, margins and costs; the ability to increase operational efficiencies across Manitowoc and to capitalize on those efficiencies; the ability to generate cash and manage working capital consistent with Manitowoc’s stated goals; work stoppages, labor negotiations, labor rates, and labor costs; the Company’s ability to attract and retain qualified personnel; changes in the capital and financial markets; the ability to complete and appropriately integrate acquisitions, strategic alliances, joint ventures, and other significant transactions; issues associated with the availability and viability of suppliers; the ability to significantly improve profitability; realization of anticipated earnings enhancements, cost savings, strategic options and other synergies, and the anticipated timing to realize those enhancements, savings, synergies, and options; the replacement cycle of technologically obsolete products; foreign currency fluctuation and its impact on reported results; risks associated with data security and technological systems and protections; the ability to direct resources to those areas that will deliver the highest returns; risks associated with manufacturing or design defects; natural disasters, other weather events, pandemics, and other public health crises disrupting commerce in one or more regions of the world; issues relating to the ability to timely and effectively execute on manufacturing strategies, general efficiencies, and capacity utilization of the Company’s facilities; the ability to focus and capitalize on product and service quality and reliability; issues associated with the quality of materials, components, and products sourced from third parties and the ability to successfully resolve those issues; changes in laws throughout the world, including governmental regulations on climate change; the inability to defend against potential infringement claims on intellectual property rights; the ability to sell products and services through distributors and other third parties; issues affecting the effective tax rate for the year; acts of terrorism; and other risks and factors detailed in Manitowoc's 2025 Annual Report on Form 10-K, as such may be amended or supplemented in Manitowoc’s subsequently filed Quarterly Reports on Form 10-Q and its other filings with the United States Securities and Exchange Commission. Manitowoc undertakes no obligation to update or revise forward-looking statements, whether as a result of new information, future events, or otherwise. Forward-looking statements only speak as of the date on which they are made. Information on the potential factors that could affect the Company's actual results of operations is included in its filings with the Securities and Exchange Commission, including but not limited to its Annual Report on Form 10-K for the fiscal year ended December 31, 2025. Non-GAAP Financial Measures Adjusted net income (loss), Adjusted DEPS, EBITDA, adjusted EBITDA, adjusted operating income, Adjusted ROIC, and free cash flows are financial measures that are not in accordance with U.S. GAAP. Manitowoc believes these non-GAAP financial measures provide important supplemental information to both management and investors regarding financial and business trends used in assessing its results of operations. Manitowoc believes excluding specified items provides a more meaningful comparison to the corresponding reporting periods and internal budgets and forecasts, assists investors in performing analysis that is consistent with financial models developed by investors and research analysts, provides management with a more relevant measure of operating performance, and is more useful in assessing management performance. Adjusted Net Income (Loss) and Adjusted DEPS The Company defines adjusted net income (loss) as net income (loss) plus the addback or subtraction of restructuring and other non-recurring items. Adjusted DEPS is defined as adjusted net income (loss) divided by diluted weighted average shares outstanding. Diluted weighted average common shares outstanding are adjusted for the effect of dilutive stock awards when there is net income on an adjusted basis, as applicable. The reconciliation of net income (loss) and diluted net income (loss) per share to adjusted net income (loss) and Adjusted DEPS for the three and six months ended June 30, 2026 and 2025 are summarized as follows. All dollar amounts are in millions, except per share data and share amounts. Adjusted ROIC The Company defines Adjusted ROIC as adjusted net operating profit after tax ("Adjusted NOPAT") for the trailing twelve-months divided by the five-quarter average of invested capital. Adjusted NOPAT is calculated for each quarter by taking operating income plus the addback of amortization of intangible assets and the addback or subtraction of restructuring expenses, other non-recurring items - net, and provision for income taxes, which is determined using a 15% tax rate. Invested capital is defined as net total assets less cash and cash equivalents and income tax assets - net plus short-term and long-term debt. Income taxes assets - net are defined as net income tax payables/receivables, net deferred tax assets/liabilities, and uncertain tax positions. The Company’s Adjusted ROIC as of June 30, 2026 was 6.9%. Below is the calculation of Adjusted ROIC as of June 30, 2026 and 2025. All dollar amounts are in millions. Free Cash Flows The Company defines free cash flows as net cash provided by (used for) operating activities less cash outflow from investment in capital expenditures. The reconciliation of net cash provided by (used for) operating activities to free cash flows for the three and six months ended June 30, 2026 and 2025 are summarized as follows. All dollar amounts are in millions. EBITDA and Adjusted EBITDA The Company defines EBITDA as net income (loss) before interest, taxes, depreciation, and amortization. The Company defines adjusted EBITDA as EBITDA plus the addback or subtraction of restructuring expense, other (income) expense - net, and other non-recurring items - net. The reconciliation of net income (loss) to EBITDA, and further to adjusted EBITDA for the three and six months ended June 30, 2026 and 2025, are summarized as follows. All dollar amounts are in millions. View source version on businesswire.com: https://www.businesswire.com/news/home/20260806670348/en/ Contacts For more information:Ion WarnerSVP, Marketing and Investor [email protected] +1 414-760-4805

Soft earnings didn't appear to concern The Manitowoc Company, Inc.'s (NYSE:MTW) shareholders over the last week. Our analysis suggests that while the profits are soft, the foundations of the business are strong. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. Importantly, our data indicates that Manitowoc Company's profit was reduced by US$5.7m, due to unusual items, over the last year. While deductions due to unusual items are disappointing in the first instance, there is a silver lining. We looked at thousands of listed companies and found that unusual items are very often one-off in nature. And that's hardly a surprise given these line items are considered unusual. Assuming those unusual expenses don't come up again, we'd therefore expect Manitowoc Company to produce a higher profit next year, all else being equal. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Because unusual items detracted from Manitowoc Company's earnings over the last year, you could argue that we can expect an improved result in the current quarter. Based on this observation, we consider it likely that Manitowoc Company's statutory profit actually understates its earnings potential! Unfortunately, though, its earnings per share actually fell back over the last year. At the end of the day, it's essential to consider more than just the factors above, if you want to understand the company properly. So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. Be aware that Manitowoc Company is showing 3 warning signs in our investment analysis and 1 of those is potentially serious... Today we've zoomed in on a single data point to better understand the nature of Manitowoc Company's profit. But there is always more to discover if you are capable of focussing your mind on minutiae. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Interested in The Manitowoc Company, Inc.? Here are five stocks we like better. Manitowoc reaffirmed full-year 2026 guidance for net sales of $2.25 billion to $2.35 billion and adjusted EBITDA of $125 million to $150 million, saying first-quarter results were broadly in line with expectations despite tariff-related headwinds. Orders and backlog remained strong, with first-quarter orders of about $646 million and backlog rising to $940 million, up from both the prior quarter and a year earlier. Management said April order rates remain solid and expects the second half of the year to improve. The CRANES+50 strategy is driving more recurring revenue through aftermarket services, field technicians, accessories and technology. Manitowoc highlighted record non-new machine sales on a trailing 12-month basis, growth in service capacity, and improving regional demand in Europe, Asia Pacific and parts of the Middle East. Caterpillar, Terex, Manitowoc Near Buy Points As Building Booms Manitowoc (NYSE:MTW) reaffirmed its full-year 2026 outlook after reporting first-quarter results that management said were broadly in line with expectations, supported by solid orders, a higher backlog and continued growth in its less cyclical aftermarket and non-new machine businesses. On the company’s first-quarter earnings call, President and Chief Executive Officer Aaron Ravenscroft said Manitowoc has continued executing its CRANES+50 strategy over the past year, helping the company “weather the downturn in the crane cycle” while positioning it for the next upturn. He cited uncertainty tied to the Middle East, Ukraine and U.S. tariffs, but said the overall market has remained resilient. → Beyond NVIDIA: Picks-and-Shovels AI Plays with Strong Momentum “Our orders during the first quarter were almost $650 million, and our backlog ended the period at $940 million,” Ravenscroft said. “In addition, order rates in April remain strong.” Executive Vice President and Chief Financial Officer Brian Regan said first-quarter orders totaled $646 million, relatively flat from a year earlier on a currency-neutral basis. He noted that comparisons were difficult because of a post-election increase in 2025 and large stocking orders received at the end of last year. → MercadoLibre Boldly Invests in Growth: Discount Deepens Backlog ended the quarter at $940 million, up $146 million from the end of 2025 and up $142 million year over year. Regan said the backlog supports Manitowoc’s revenue expectations for the year. Net sales were $495 million in the quarter, also essentially flat on a currency-neutral basis. Non-new machine sales totaled $166 million in the quarter and reached a record $696 million on a trailing 12-month basis, up 8% from the prior year. Regan said growth in the category lagged expectations in the first quarter, mainly because of used equipment sales, but the mix favored higher-margin categories. → 3 Ways to Target the Resources Powering AI and Data Centers Adjusted EBITDA was $20 million, down $2 million, or 10%, from the prior-year quarter. Regan said tariffs reduced results by $2 million, as expected. Selling, general and administrative expenses were $91 million, with adjusted SG&A up $7 million. Foreign currency accounted for $3 million of that increase, while the remainder was primarily driven by the CONEXPO trade show and inflation in employee-related costs. Manitowoc reaffirmed its previously issued full-year guidance for net sales of $2.25 billion to $2.35 billion and adjusted EBITDA of $125 million to $150 million. Regan said the company’s first-quarter results did not change its expectations for the full year. In response to an analyst question about tariffs, he said the net go-forward impact of current tariffs remains in line with the company’s expectations coming into the year, though uncertainty remains around Section 301 country-by-country tariffs and their net effect compared with current Section 232 tariffs. Regan said Manitowoc paid approximately $25 million in IEEPA-related tariffs and has filed for a refund through the CAPE process. He also said the company voluntarily submitted a prior disclosure to customs related to potential errors in its methodology for calculating Section 232 steel and steel derivative tariffs. The company paid about $18 million before the April change in Section 232 tariffs, he said. Asked about the cadence of results, Regan said the second half of the year should look better from a comparison standpoint because tariffs had a larger impact in the second half of 2025. He also said restructuring actions in the plan are expected to have a more favorable effect in the second half. “Q2 will be better than Q1, but I think the second half is going to be better than the first half,” Regan said. Ravenscroft said Manitowoc is continuing to grow its non-new machine sales, which he described as less affected by economic cycles and higher-return. He outlined four areas of focus: adding service locations, increasing aftermarket sales representatives and field service technicians, expanding complementary lifting accessories and leveraging technology. In Australia, Ravenscroft said Manitowoc doubled capacity at its Sydney facility and approved new service centers in Brisbane and Melbourne, with Brisbane set to host the 2032 Olympics. The company ended the quarter with 567 field service technicians, up 50 in three months, helped by changes to North American recruiting and a move in India from a dealer model to a direct model. Ravenscroft also highlighted new lifting accessories, including anti-intrusion panels for European tower cranes, urinals to replace traditional bucket systems, and outrigger pads and a rear-mounted storage compartment in the U.K. In response to an investor question, he said a recent French tower crane order worth 6.5 million euros included an additional 900,000 euros in commissioning and dismantling services and 300,000 euros in accessories, including anti-intrusion panels, lighting cameras, anti-collision software, aircraft warning systems and lifts. The company also completed implementation of the ServiceMax Asset Management System in April and is developing dispatching and work order modules that Ravenscroft said should improve visibility into service work and help capture incremental revenue opportunities. Ravenscroft described customer sentiment at CONEXPO as “very positive,” saying crane rental houses were optimistic and project work remains abundant despite dissatisfaction with tariffs. Dealer inventory levels declined in the first quarter, which he called a positive sign, and all-terrain crane inventory levels are at a 10-year low. In Europe, he said demand for tower cranes continues to grow, with new machine orders up 76% year over year, while mobile crane demand has remained relatively steady. In the Middle East, Ravenscroft said major projects such as the new Dubai Airport continue to move forward, though Saudi Arabia has pulled back on Neom and Trojena. He said Manitowoc is monitoring the region given the Iran conflict. In Asia Pacific, Ravenscroft said momentum is increasing in Hong Kong, Vietnam, Australia and South Korea. He noted that roughly 100 Potain tower cranes are operating at new SK hynix and Samsung semiconductor projects in South Korea, adding that he left the region optimistic about demand in coming quarters. Manitowoc reported net working capital of $536 million at quarter-end, up $47 million year over year, primarily because of higher inventory. Regan said the increase included $26 million from foreign currency, $15 million from tariffs and $10 million in prototypes, partially offset by operational improvements. Operating activities provided $27 million in cash during the quarter, and capital expenditures were $8 million, including $6 million for the rental fleet. Free cash flow was $19 million, a $17 million improvement from a year earlier, driven by increased collections on accounts receivable. The company ended the quarter with $316 million in liquidity and a net leverage ratio of 3.1 times. Regan also said S&P upgraded Manitowoc’s corporate credit rating from B to B+ in April, which he said reflects progress in strengthening the company’s financial profile while investing in long-term growth. Ravenscroft closed the call by saying he sees “many reasons to be optimistic,” including a rebound in Europe, continued activity in the Middle East, strength in parts of Asia, potential mining investment in Latin America and ongoing U.S. demand tied to data centers, power generation and transmission infrastructure. However, he also said uncertainty remains, including the situation around the Strait of Hormuz and the company’s ability to execute certain Middle East orders within the year. The Manitowoc Company, Inc (NYSE: MTW) is a global manufacturer of heavy-lift cranes and lifting equipment. The company's product portfolio includes tower cranes marketed under the Potain brand, mobile hydraulic cranes sold under the Grove, Manitowoc and National Crane names, and engineered lifting solutions such as mast climbers and platform hoists. Manitowoc serves a wide range of industries, including construction, infrastructure, energy and industrial markets. Headquartered in Milwaukee, Wisconsin, Manitowoc operates manufacturing facilities, sales offices and rental centers across North America, Europe, Asia, Latin America and the Middle East. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Manitowoc Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

First-Quarter 2026 Highlights Orders of $645.7 million, up 5.8% year-over-year. Ending backlog of $939.9 million Net sales of $494.6 million, up 5.0% year-over-year Non-new machine sales of $165.7 million, up 3.2% year-over-year Net cash provided by operating activities of $27.4 million, free cash flows of $19.2 million MILWAUKEE, May 05, 2026--(BUSINESS WIRE)--The Manitowoc Company, Inc. (NYSE: MTW) (the "Company" or "Manitowoc") today reported a first-quarter net loss of $6.0 million, or $(0.17) per diluted share. First-quarter adjusted net loss(1) was $4.6 million or ($0.13) per diluted share. Orders in the first quarter were $645.7 million, a 5.8% increase from the prior year, resulting in backlog of $939.9 million. Net sales in the first quarter were $494.6 million, an increase of 5.0% from the prior year. Non-new machine sales were $165.7 million, an increase of 3.2% year-over-year. Adjusted EBITDA(1) was $19.6 million, a decrease of 9.7% from the prior year. "The Manitowoc team delivered first quarter results in line with expectations. Backlog reached $940 million, our highest level in two years, reflecting strong demand for our products. Under our CRANES+50 strategy, non‑new machine sales rose 8% on a trailing twelve‑month basis to a record $696 million. In addition, customer feedback to our new products and aftermarket offerings at the ConExpo trade show was outstanding," commented Aaron H. Ravenscroft, President and Chief Executive Officer of The Manitowoc Company. "Backlog remains strong, orders are healthy, and customer sentiment continues to improve. In addition, our CRANES+50 strategy is driving more stable, higher‑margin recurring revenue, which sets a strong foundation for our long-term success," concluded Ravenscroft. Investor Conference Call The Manitowoc Company will host a conference call for security analysts and institutional investors to discuss its first-quarter 2026 earnings results on Wednesday, May 6, 2026, at 10:00 a.m. ET (9:00 a.m. CT). Shareholders and prospective investors are encouraged to submit questions in advance to [email protected]. A live audio webcast of the call, along with the related presentation, will be available via webcast on the Manitowoc website at http://ir.manitowoc.com in the "Events & Presentations" section. A replay of the conference call will also be available at the same location on the website. About The Manitowoc Company, Inc. The Manitowoc Company, Inc. ("Manitowoc" or the "Company") was founded in 1902, and is headquartered in Milwaukee, Wisconsin, United States. Manitowoc, through its wholly-owned subsidiaries, provides high quality, customer-focused lifting products and services world-wide through its Grove, Manitowoc, National Crane, Potain, Shuttlelift, and Upfits by Aspen Equipment brands and its support-focused subsidiary MGX Equipment Services. For more information, visit www.manitowoc.com. Footnote (1)Adjusted net loss, adjusted diluted net loss per share ("Adjusted DEPS"), EBITDA, adjusted EBITDA, adjusted operating income, adjusted return on invested capital ("Adjusted ROIC"), and free cash flows are financial measures that are not in accordance with U.S. GAAP. For definitions and a reconciliation to the most comparable U.S. GAAP numbers, please see the schedule of "Non-GAAP Financial Measures" at the end of this press release. Forward-looking Statements This press release includes "forward-looking statements" intended to qualify for the safe harbor from liability under the Private Securities Litigation Reform Act of 1995. Any statements contained in this press release that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations of the management of the Company and are subject to uncertainty and changes in circumstances. Forward-looking statements include, without limitation, statements typically containing words such as "intends," "expects," "anticipates," "targets," "estimates," and words of similar import. By their nature, forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results and developments to differ materially include, among others: macroeconomic conditions, including inflation, elevated interest rates, and tariffs as well as prior supply chain, labor and logistics constraints, have had, and may continue to have, a negative impact on Manitowoc’s ability to convert backlog into revenue (the timing of sales) which could impact, and has impacted, its financial condition, cash flows, and results of operations (including future uncertain impacts); uncertainty regarding, and adverse changes to trade policy, including tariffs, reciprocal tariffs, trade agreements, ongoing negotiations on trade agreements with additional trade partners, legal challenges to certain tariffs authorities, updated guidance from regulators, export duties, import controls and trade barriers (including quotas); actions of competitors; changes in economic or industry conditions generally or in the markets served by Manitowoc; geopolitical events, including the ongoing conflicts in Ukraine and in the Middle East, other political and economic conditions and risks and other geographic factors, have led to and may continue to lead to market disruptions, including volatility in commodity prices (including oil and gas), raw material and component costs, energy prices, inflation, consumer behavior, supply chain, and credit and capital markets, and could result in the impairment of assets; changes in customer demand, including changes in global demand for high-capacity lifting equipment, changes in demand for lifting equipment in emerging economies and changes in demand for used lifting equipment including changes in government approval and funding of projects; the ability to convert backlog, orders, and order activity into sales and the timing of those sales; the ability to focus on customers, new technologies, and innovation; uncertainties associated with new product introductions, the successful development and market acceptance of new and innovative products that drive growth; failure to comply with regulatory requirements related to the products and aftermarket services the Company sells; the ability to capitalize on key strategic opportunities and the ability to implement Manitowoc’s long-term initiatives; the ability of Manitowoc's customers to receive financing; risks associated with high debt leverage; impairment of goodwill and/or intangible assets; changes in revenues, margins and costs; the ability to increase operational efficiencies across Manitowoc and to capitalize on those efficiencies; the ability to generate cash and manage working capital consistent with Manitowoc’s stated goals; work stoppages, labor negotiations, labor rates, and labor costs; the Company’s ability to attract and retain qualified personnel; changes in the capital and financial markets; the ability to complete and appropriately integrate acquisitions, strategic alliances, joint ventures, and other significant transactions; issues associated with the availability and viability of suppliers; the ability to significantly improve profitability; realization of anticipated earnings enhancements, cost savings, strategic options and other synergies, and the anticipated timing to realize those enhancements, savings, synergies, and options; the replacement cycle of technologically obsolete products; foreign currency fluctuation and its impact on reported results; risks associated with data security and technological systems and protections; the ability to direct resources to those areas that will deliver the highest returns; risks associated with manufacturing or design defects; natural disasters, other weather events, pandemics, and other public health crises disrupting commerce in one or more regions of the world; issues relating to the ability to timely and effectively execute on manufacturing strategies, general efficiencies, and capacity utilization of the Company’s facilities; the ability to focus and capitalize on product and service quality and reliability; issues associated with the quality of materials, components, and products sourced from third parties and the ability to successfully resolve those issues; changes in laws throughout the world, including governmental regulations on climate change; the inability to defend against potential infringement claims on intellectual property rights; the ability to sell products and services through distributors and other third parties; issues affecting the effective tax rate for the year; acts of terrorism; and other risks and factors detailed in Manitowoc's 2025 Annual Report on Form 10-K, as such may be amended or supplemented in Manitowoc’s subsequently filed Quarterly Reports on Form 10-Q and its other filings with the United States Securities and Exchange Commission. Manitowoc undertakes no obligation to update or revise forward-looking statements, whether as a result of new information, future events, or otherwise. Forward-looking statements only speak as of the date on which they are made. Information on the potential factors that could affect the Company's actual results of operations is included in its filings with the Securities and Exchange Commission, including but not limited to its Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and its Quarterly Report on Form 10-Q for the quarter ended March 31, 2026. Non-GAAP Financial Measures Adjusted net loss, Adjusted DEPS, EBITDA, adjusted EBITDA, adjusted operating income, Adjusted ROIC, and free cash flows are financial measures that are not in accordance with U.S. GAAP. Manitowoc believes these non-GAAP financial measures provide important supplemental information to both management and investors regarding financial and business trends used in assessing its results of operations. Manitowoc believes excluding specified items provides a more meaningful comparison to the corresponding reporting periods and internal budgets and forecasts, assists investors in performing analysis that is consistent with financial models developed by investors and research analysts, provides management with a more relevant measure of operating performance, and is more useful in assessing management performance. Adjusted Net Loss and Adjusted DEPS The Company defines adjusted net loss as net loss plus the addback or subtraction of restructuring and other non-recurring items. Adjusted DEPS is defined as adjusted net loss divided by diluted weighted average shares outstanding. Diluted weighted average common shares outstanding are adjusted for the effect of dilutive stock awards when there is net income on an adjusted basis, as applicable. The reconciliation of net loss and diluted net loss per share to adjusted net loss and Adjusted DEPS for the three months ended March 31, 2026 and 2025 are summarized as follows. All dollar amounts are in millions, except per share data and share amounts. Adjusted ROIC The Company defines Adjusted ROIC as adjusted net operating profit after tax ("Adjusted NOPAT") for the trailing twelve-months divided by the five-quarter average of invested capital. Adjusted NOPAT is calculated for each quarter by taking operating income plus the addback of amortization of intangible assets and the addback or subtraction of restructuring expenses, other non-recurring items - net, and provision for income taxes, which is determined using a 15% tax rate. Invested capital is defined as net total assets less cash and cash equivalents and income tax assets - net plus short-term and long-term debt. Income taxes assets - net are defined as net income tax payables/receivables, net deferred tax assets/liabilities, and uncertain tax positions. The Company’s Adjusted ROIC as of March 31, 2026 was 5.1%. Below is the calculation of Adjusted ROIC as of March 31, 2026. Free Cash Flows The Company defines free cash flows as net cash provided by operating activities less cash outflow from investment in capital expenditures. The reconciliation of net cash provided by operating activities to free cash flows for the three months ended March 31, 2026 and 2025 are summarized as follows. All dollar amounts are in millions. EBITDA and Adjusted EBITDA The Company defines EBITDA as net income (loss) before interest, taxes, depreciation, and amortization. The Company defines adjusted EBITDA as EBITDA plus the addback or subtraction of restructuring expense, other expense - net, and other non-recurring items - net. The reconciliation of net income (loss) to EBITDA, and further to adjusted EBITDA for the three months ended March 31, 2026 and 2025, are summarized as follows. All dollar amounts are in millions. View source version on businesswire.com: https://www.businesswire.com/news/home/20260504105778/en/ Contacts For more information: Ion Warner SVP, Marketing and Investor Relations [email protected] +1 414-760-4805

Image source: The Motley Fool. Wednesday, May 6, 2026 at 10 a.m. ET President & Chief Executive Officer — Aaron H. Ravenscroft Executive Vice President & Chief Financial Officer — Brian P. Regan Senior Vice President, Marketing & Investor Relations — Ion M. Warner Aaron H. Ravenscroft: Thank you, Ion, and good morning, everyone. I would like to take a moment to thank The Manitowoc Company, Inc. team for their unwavering commitment to serving our stakeholders. Over the last twelve months, the team has continued to execute our Cranes+50 strategy, enabling us to weather the downturn in the crane cycle and be better positioned for the next leg up. Although there is a great deal of uncertainty in the Middle East, Ukraine, and even in the United States with respect to tariffs, the overall market has been resilient. Our orders during the first quarter were almost $650 million, and our backlog ended the period at $940 million. In addition, rates in April remained strong. Please turn to Slide three. Starting with the Manitowoc Way, I recently challenged our organization to eliminate hammers, similar to what we did with ladders a few years ago. We are simply too reliant on hammers. They create quality problems and are a major source of safety risk. In our Katy Grove plant alone, we had over 1,200 hammers in use. Thus far, we have eliminated 264. As you can see on this slide, the organization has quickly developed a variety of improvements ranging from simple to ingenious solutions. Eliminating hammers not only helps create a safer workplace but also supports the Manitowoc Way culture as we consistently drive for continuous improvement and innovation. Ultimately, the goal is to have zero injuries. In terms of new product development, in March we unveiled an 80-ton boom truck and an 800-ton eight-axle all-terrain crane at CONEXPO. Both received outstanding feedback from customers and crane operators. The eight-axle crane was a real head turner at the show, and I really look forward to getting the first units into the field in 2027. Please move to Slide four. Turning to our Cranes+50 strategy, our non-new machine sales for the quarter grew 3% year over year. On a trailing twelve-month basis, we improved 8% to $696 million. Growing this part of our business, which is less impacted by economic cycles and produces higher returns, is a key part of our strategic plan and is working well. As I preach to our teams, for us to continuously grow our non-new machine sales, we have to focus on four major buckets. Number one, we are adding more service locations. For example, in Australia we doubled the capacity of our Sydney facility, and we recently approved new service centers in Brisbane and Melbourne. Brisbane will host the 2032 Olympics, and we are preparing for a lot of activity in the region. Number two, we are adding more aftermarket sales representatives and field service techs. We ended the first quarter with 567 field service techs, up 50 techs in just three months. The growth was driven by two major actions. First, we reorganized our approach to talent acquisition in North America by enhancing our recruiting team. And second, in India, we transitioned from a dealer model to a direct model in order to better service our customers. The third bucket, we are increasing sales of complementary lifting accessories. In Europe, our tower crane team has introduced anti-intrusion panels to reduce theft and to discourage curious social media influencers during the off hours. In addition, the team has introduced urinals to replace the less-than-desirable traditional bucket system. In the UK, our mobile team has started selling outrigger pads and a rear-mounted storage compartment, which they designed in-house. Our goal is straightforward. We want to make our customers' lives easier so they can focus on executing lifts. And the fourth bucket is the fact that we are leveraging technology. I have mentioned our implementation of ServiceMax a few times. This tool has several different modules to help us better track machines and more effectively fix and bill crane repairs. In April, we completed the implementation of ServiceMax’s asset management system. We are now under the development of the dispatching and work order module, which increases our visibility to service work and enables us to capture more incremental revenue opportunities. Please move to Slide five. For my regional update, let us start with the Americas. First and foremost, overall customer sentiment at CONEXPO was very positive. Crane rental houses were quite optimistic about the market outlook. While everyone is unhappy with tariffs, customers told us project work is abundant. In addition, dealer inventory levels declined during the first quarter, which is a great sign that folks are buying again. For example, all-terrain crane inventory levels are at a ten-year low. In Europe, the crane business feels pretty good. Demand for tower cranes continues to grow with new machine orders up 76% year over year. Mobile demand has remained relatively steady. In the Middle East, many big projects like the new Dubai Airport continue to move forward. Not surprisingly, Saudi Arabia has pulled back on the home front, and considerable development activity remains underway in Riyadh. Given the circumstances around the Iran conflict, we find ourselves in a wait-and-see mode as we monitor the situation, but I am very encouraged by the level of optimism in the region, with construction companies eager to get back to business. Finally, Asia-Pacific continues to gain momentum with increasing demand in Hong Kong, Vietnam, Australia, and South Korea. I recently visited the new SK Hynix and Samsung semiconductor projects where roughly 100 POTAIN tower cranes are currently operating. Korean construction companies continue to leave me in awe of their scale and speed. The Samsung site alone will reach 70,000 workers at its peak. I left South Korea very optimistic about demand in the coming quarters. With that, I will hand it over to Brian to walk you through the financials before I make a few closing remarks. Brian P. Regan: Thanks, Aaron, and good morning, everyone. Please turn to Slide six. Our financial performance for the quarter tracked largely in line with expectations, which supports reaffirming our previously issued guidance. We anticipated difficult comps as tariffs were a headwind to the quarter versus the prior year. The tariffs introduced in 2025 fully impact us until the second half of the year. Moving to the numbers, we had orders of $646 million in the first quarter, relatively flat from a year ago on a currency-neutral basis. Order activity was solid and broadly consistent with recent trends. Keep in mind, order comps were difficult in Q1 due to the post-election bump in 2025 and the large stocking orders we received at the end of the year. Backlog ended the quarter at a strong $940 million, up $146 million from where we exited 2025 and up $10.442 billion year over year. This supports our revenue expectations for the full year. Net sales in the quarter were $495 million, essentially flat on a currency-neutral basis. Non-new machine sales in the quarter were $166 million and, on a trailing twelve-month basis, reached a record $696 million, up 8% from the prior year. While growth lagged our expectations in the first quarter, mainly due to used sales, the overall mix of non-new machine sales favored our higher-margin categories. SG&A expenses were $91 million in the quarter. On an adjusted basis, SG&A was up $7 million, with foreign currency accounting for $3 million of the increase. The remaining increase was driven primarily by the CONEXPO trade show and inflation from other employee-related costs. Adjusted EBITDA in the quarter was $20 million, down $2 million, or 10% year over year. As expected, tariffs impacted our results by $2 million. Please turn to Slide seven. Net working capital ended the quarter at $536 million, an increase of $47 million year over year, driven primarily by inventory. The higher year-over-year inventory was driven by $26 million from foreign currency, $15 million from tariffs, and $10 million in prototypes, and was partially offset by operational improvements. Moving to cash flow, operating activities provided $27 million of cash during the quarter. Capital expenditures were $8 million, including $6 million for our rental fleet, resulting in free cash flow of $19 million. This was a $17 million improvement year over year, driven by increased collections on accounts receivable. We ended the quarter with $316 million in liquidity, and our net leverage ratio was 3.1 times. In April, S&P upgraded our corporate credit rating from B to B+. This upgrade underscores the progress we are making in strengthening our financial profile through the cycle while investing in long-term growth through our Cranes+50 strategy. Looking ahead, first quarter results did not change our expectations for the full year, and as such, we are affirming our previously issued guidance of net sales of $2.25 billion to $2.35 billion and adjusted EBITDA of $125 million to $150 million. With that, I will turn the call back to Aaron. Aaron H. Ravenscroft: Thank you, Brian. Please turn to Slide eight. Standing back and looking at the forest through the trees, I think there are many reasons to be optimistic. Number one, Europe is on the rebound. For sure, towers have rebounded more aggressively than mobiles, and there is still a big need for residential housing and power generation. Number two, in the Middle East, all things considered, folks are pretty optimistic to get back on track. In normal times, all construction would have dried up overnight with such regional conflict. Number three, in Asia, our strongest markets are pumping even in the face of weaker currencies. Number four, in LATAM, copper has traded above $6 per pound. With several new governments in the region, I believe we will start to see more investments in brownfield and greenfield mining projects. Number five, in the U.S., although fleet ages continue to increase, customers are begrudgingly making purchases. Data centers continue to expand rapidly, and there is a strong need for additional power generation and transmission infrastructure. And finally, number six, the success of our Cranes+50 strategy is increasingly helping us weather this economic cycle and positioning us for a higher-margin profile in the long term. Of course, there is still a lot of uncertainty in the market, but I believe that we are starting to see light at the end of the tunnel. Keep in mind, we have been living in this mode essentially since 2020. There is plenty of pent-up ambition from folks to renew and expand their businesses, which is why I believe that the markets have held up steady. With that, operator, please open the line for questions. We will now open the call for questions. Operator: Yes, thank you. We will now begin the question-and-answer session. The first question comes from Jerry Revich from Wells Fargo. Aaron H. Ravenscroft: Good morning, Jerry. Morning. Analyst: This is Kevin on for Jerry. I just had a question on the changing tariff dynamics as it relates to your outlook. It would be helpful to get more color on that, maybe bifurcating between impacts from the AIIPA overturn and the new Section 232 ruling. Brian P. Regan: Yep. Thanks, Kevin. A lot is going on with the tariff landscape, as you can imagine. I will start by saying that the net go-forward impact of what is in place today is in line with what we thought coming into the year. There are no real changes to our expectations based on those changes. With that said, there is still uncertainty regarding what the Section 301 country-by-country tariffs will be and what net effect they will have on us versus the Section 232 current tariffs. Related to AIIPA, we did file our refund through the process. We paid approximately $25 million in AIIPA, so we are in a wait-and-see mode as far as that process goes. Additionally, you will see in our Q, we voluntarily submitted a prior disclosure to Customs related to potential errors in our methodology in calculating the 232 steel and steel derivative tariffs. This will allow us to review our calculation to determine if any adjustments are required. To give some perspective, we paid approximately $18 million prior to the April change in the 232 tariffs. Analyst: Got it. Very helpful. And then given that Q2 is typically a seasonally strong quarter for both net sales and margin, how should we think about performance versus normal seasonality? Any one-time impacts we should be thinking about from Q1? Brian P. Regan: As I said in the prepared remarks, from a comp standpoint, the second half is going to look better because of the impact of the tariffs. They really hit us more in the second half than the first half. With that said, we talked about restructuring in our plan, and that is still in place. Again, that is going to affect us more favorably in the second half. So, I think Q2 will be better than Q1, but the second half is going to be better than the first half. Analyst: Understood. Thank you. That is all I have for questions. Ion M. Warner: Thanks, Kevin. We received several emails this morning, and I would like to read them to you. The first question that I received online was: Could you provide more color on these lifting accessories as part of your Cranes+50 strategy? Aaron H. Ravenscroft: Yes. The analogy that I use with our team internally is that the crane business is a lot like a restaurant. When you think about the restaurant, it is the steak that brings us all to the restaurant—it is that main platter. But the reality is the restaurant is living off of the appetizers, the desserts, and the wines. I think that the crane business is exactly the same. Obviously, you have to have a great crane to be in the lifting business, but there are a lot of accessories that go around that product and really add value to our business and to our customers. What really brings it all home is great service. A great recent example: we got an order in France for seven tower cranes for €6.5 million, and on the back of that, the sales team was able to add commissioning and dismantling services for €900,000 and then several accessories for a total of €300,000. On top of the normal crane order, they added anti-intrusion panels, lighting, cameras, anti-collision software, aircraft warning systems, and lifts. To me, that is a great example of what the team can add when they think outside of the box and have a bigger view of the customer and how we service those customers. Hopefully, that color helps. Ion M. Warner: Thanks. We received another email: What were your orders in April? Brian P. Regan: Yes. As Aaron mentioned, orders were strong. We are still rolling up the numbers, but we expect between $225 million and $250 million of orders in April, which is a little bit higher than the run rate we saw in Q1. Ion M. Warner: Okay. I just received this email: You seem more optimistic on this call. How should we think about the full-year guidance? Aaron H. Ravenscroft: We reaffirmed our guidance, but orders have been strong, and April, as Brian just said, is looking good. Backlog is strong. Dealer inventory is on the low end in the United States, and we are really starting to see some momentum in places like South Korea. So I think there is a lot of optimism and a lot of opportunity. The big question mark is just how the Strait of Hormuz situation plays out because we still have plenty of orders that need to make their way into the Middle East through that strait, and as of right now, it is shut down. So there are some good opportunities, but there is still some uncertainty in terms of our ability to execute within the year depending on how that situation plays out. Ion M. Warner: I received another email, and I will read it to you: How is the implementation of the Manitowoc Way lean practices impacting the aftermarket business? Aaron H. Ravenscroft: We traditionally were manufacturing-focused, so we are still figuring it out, and I think we are in the early innings, but we are starting to see some good gains. I think when you look at what we did in terms of our new hires of field service folks during the quarter, that is a good example of how we are gaining. We continue to tweak our approach to recruiting and how we manage each organization, and it looks like we have found the right formula. That is a real success of us trying to continuously do a better job and be more effective at it. We have some good kaizens going this year; they are more than just a one-week kaizen. It will take us a few weeks to work through those. We do pre-delivery inspections at our dealerships. We have never really gotten good feedback; there are a lot of fixes that happen that people just do not report. So we built a system around that to start to get feedback closer to our assemblers, and I think that is going to yield good results for us. In our Jeffersonville distribution center, this is where we typically ship out parts, but there are a lot of kits that go with encore work and upfit and some bigger projects. I could best describe that as a terrible IKEA project at the moment. There is a lot of work for us to do and improve in terms of the kitting because, when we do that, that is going to drive a significant productivity gain at our service centers when they are doing that work, because it is hard to figure out all the different nuts and bolts and parts that are in some of these boxes. I think that is great. And then a big shout-out to our team in Chesapeake. She has done a fantastic job. She was a Manitowoc Way winner last year for improvements, and in the first quarter, she put forward an improvement around using QR codes to manage TPM on forklifts. I love the amount of creativity we have in those locations. To me, the big challenge and why I say we are in the early innings is just around how we collaborate and share all these lessons learned. It is a lot of cats to herd in all these different locations, but we are gaining speed. I am really looking forward to what we are able to do as we move forward. Thank you. Those are the questions that we received in the queue. Ion M. Warner: Operator, any other questions in the queue? Operator: No, sir. There is nothing at present. Ion M. Warner: Very well. Please note that a replay of our first quarter 2026 earnings call will be available later this morning by accessing the Investor Relations section of our website at www.manitowoc.com. Thank you, everyone, for joining us today and for your continued interest in The Manitowoc Company, Inc. We look forward to speaking with you again next quarter. Operator: Thank you. The conference has now concluded. 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