Tadano sales drop 14%16 May 2017 by Sotiris Kanaris
Tadano sales revenue in the twelve months ended March 31 stood at ¥179.7bn ($1.6bn), down 14.2% year-on-year. Over the same period, net profit dropped by 39.4% to ¥11.9bn.
Total sales of Tadano mobile cranes decreased by 22.5% from the previous year to ¥109.6bn. Mobile crane sales in Japan fell by 11.9% to ¥45bn, due in part to the production changeover required to make new model cranes. Outside of Japan, further drops in demand and the strong yen led to a year-on-year decrease of 28.6% with sales totalling ¥64.6bn.
Total sales of truck loader cranes amounted to ¥19.6bn, down 3.6% from the previous fiscal year. In the Japanese market truck loader crane sales fell by 2.6% from the previous fiscal year to ¥18.2bn. Despite a focus on expansion of sales in emerging market countries, sales in markets outside of Japan stood at ¥1.4bn, down 14.7% year-on-year.
“Given this economic context, Tadano put its efforts into the sales of new-model cranes in the Japanese market, and focused on maintaining prices and increasing share in markets outside of Japan, while additionally focusing on cost reductions,” said Tadano.
The manufacturer has invested ¥2.4bn for a 20 hectare plot of land in Takamatsu, Japan, to be used for a new plant that will expand its production capabilities.
Tadano aims for the plant to start operations sometime during FY 2018, and it plans for an estimated ¥17.5bn to be invested in the facility.