Gross profit decreased by ¥20.7bn to ¥35.2bn, with the company attributing the drop to changes in product sales composition. The same reason was behind the deterioration of the cost of sales ratio, according to the manufacturer.

Operating income dropped by ¥18.1bn, leading to an operating loss of ¥4.2bn; the last time Tadano recorded an operating loss was ten years ago (FY2010). Despite expense reductions, the fall in operating income was caused by the decrease in sales volume and the consolidation of Demag Business.

Sales of mobile cranes fell by 27.4% year-on-year to ¥109.4bn, as demand decreased in all regions. Outside Japan, the revenue generated from the sale of this crane type amounted to ¥69.8bn, down 32.2%. In the domestic market, sales shrank by 17.2% year-on-year to ¥39.6bn.

Sales of truck loader cranes generated ¥19.3bn, ¥2.8bn less than the previous fiscal year.

As a group, the only region where sales revenue increased was Europe, where a 13.4% rise was recorded to ¥27.6bn. “Net sales increased due to consolidation of Demag business,” said Tadano.

In its biggest market outside Japan, North America, Tadano recorded a 35.4% year-on-year decrease in sales revenue, which stood at ¥35bn. The manufacturer highlighted the substantial fall in demand for rough terrains from this market.

For FY 2021, the company forecasts a 27% increase in mobile crane sales revenue and a slight fall (1.6%) in truck loader cranes sales revenue.