Tennant Co. has reported fiscal fourth-quarter net sales of US$291 million, an increase of 9.7 per cent on an organic basis from the previous year.
The company posted a net income of $23.8 million ($1.29 per share), a 201.3 per cent jump from $7.9 million ($0.43 per share) a year earlier.
Sales in the company’s Americas division climbed 7.2 per cent compared to the previous year, while Tennant’s EMEA division, which covers Europe, the Middle East, and Africa, reported a dip of 9.1 per cent in sales.
Net sales in Asia Pacific (APAC) decreased 11.4 per cent organically for the full year and 7.5 per cent in the fourth quarter.
The decline was primarily due to volume declines in China as government shutdowns related to COVID-19 continue to unfavorably impact demand.
This was partly offset by higher selling prices across the region and volume growth in the Australian market.
For the 2022 fiscal year, Tennant posted a net income of $66.3 million on net sales of $1.092 billion, representing 0.1 per cent growth, or 4.2 per cent on an organic basis.
“Our team displayed great resourcefulness and perseverance to deliver organic sales growth in 2022 as we worked to navigate macroeconomic headwinds and meet the high level of demand for our innovative products,” said Dave Huml, Tennant president and CEO.
“Targeted actions executed throughout the year, specifically those to address parts shortages, began to yield material results in the fourth quarter, which enabled us to increase production and deliver higher sales and increased margins versus the third quarter and prior-year quarter.
“Our fourth quarter results provide positive momentum as we start 2023. While our record backlog provides us with a significant buffer against the potential for moderating demand, we continue to face uncertainty about global macroeconomic challenges going forward.
“We are cautiously optimistic and fully committed to delivering improved sales and profit by focusing on recovery of backlog, launching innovative new products, driving price realisation, and providing our customers with world-class service.”
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at info@incleanmag.co.nz.
Sign up to INCLEAN NZ’s newsletter.
