Manitowoc surpassed analysts' estimates for fiscal year 2007. MTW announced a fourth quarter rise in revenue of 44% compared to 2006 as global demand for cranes remained robust. MTW reaffirmed 2008 EPS guidance of between $3.20 and $3.40.
Manitowoc, along with other construction equipment manufacturers, saw share prices fall as fears hightened that the U.S. would slip into a recession. A recession causes demand for construction equipment to fall and would hurt the domestic sales of company's competiting within the crane industry. Global sales would decline if international economies followed the U.S. into recession.