The Manitowoc Company, Inc. (MTW): Business Model Canvas [Dec-2025 Updated]

You're looking for the hard numbers on how The Manitowoc Company, Inc. is executing its big pivot, and honestly, the Q3 2025 results tell a clear story. After years of restructuring, the focus is squarely on high-margin aftermarket services, a strategy they call 'CRANES+50,' which is already showing up with a record $667 million in non-new machine sales on a trailing twelve-month basis. Still, with a strong order backlog of $666.5 million as of that quarter, the core manufacturing business isn't going anywhere, even while they manage tariff costs modeled around $60 million for the year. This canvas breaks down exactly how they are balancing new crane sales, which hit $553.4 million in Q3 Net Sales, with their growing service revenue streams, so you can see the whole picture below.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Key Partnerships

You're looking at how The Manitowoc Company, Inc. builds its external relationships to deliver value, which is key for a capital-intensive equipment manufacturer. Here's the breakdown of the key partnerships as of late 2025.

Strategic Acquisitions of Dealer Channels

The Manitowoc Company, Inc. continues its disciplined M&A strategy by opportunistically acquiring crane dealer channels to capture retail margin and expand service capabilities. A prime example is the completion of the acquisition of certain crane assets of Ring Power Corporation on February 4, 2025. This transaction, executed through the wholly-owned subsidiary MGX Equipment Services, LLC, expanded The Manitowoc Company, Inc.'s direct-to-customer footprint into Georgia, North Carolina, and South Carolina. This move is part of a broader effort that, as of May 2025, saw service technician headcount grow by over 38%+ in North America and by 24% in Europe, reflecting investment in these expanded territories.

Global Network of Third-Party Independent Crane Dealers

The Manitowoc Company, Inc. relies on a wide-ranging global network for sales and service across its brands, including Grove, Manitowoc, National Crane, and Potain. This network spans numerous countries and regions, supporting global reach for engineered lifting solutions.

The company supports its dealer network with financing options through Manitowoc Finance.

Component Suppliers for Global Sourcing

To manage costs and supply chain resilience, The Manitowoc Company, Inc. engages with suppliers for critical components. Broadwind, for instance, provides heavy fabrication, gearing, and assembly for large-scale material handling components, which supports the manufacturing base for OEMs like The Manitowoc Company, Inc. The Construction industry, generally, benefits from global sourcing in 2025 by saving on bulk materials and speeding up project completion.

Financing Partners

The Manitowoc Company, Inc. facilitates customer purchases via Manitowoc Finance. This internal captive finance arm offers flexible options, often structuring agreements to allow customers to make lower payments when revenue drops or higher payments during peak business times. Financing terms typically range from 24 to 84 months, depending on the equipment cost and type. This structure is designed to let customers acquire equipment with virtually no cash outlay, often requiring only a small down payment, and it keeps their external bank lines of credit intact.

Industry Associations for Trade Complaints

The Manitowoc Company, Inc. actively partners with industry associations to address unfair trade practices. On November 13, 2025, members of the VDMA Materials Handling and Intralogistics Association, including The Manitowoc Company, Inc., filed a complaint with the European Commission regarding the influx of Chinese mobile cranes. The four companies involved in this action represent approximately 92% of the EU industry, and the complaint specifically targets mobile cranes with a lifting capacity of at least 30 tons. Furthermore, The Manitowoc Company, Inc. had previously filed an anti-dumping duty petition in the U.S. before January 29, 2025.

• VDMA complaint filed: November 13, 2025.
• Lifting capacity focus: At least 30 tons.
• EU Industry representation by complainants: Between 92% and 99%.

Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Key Activities

You're looking at the core actions The Manitowoc Company, Inc. takes to deliver value, and honestly, it's a mix of heavy engineering and sharp financial focus right now. The numbers from the third quarter of 2025 really show where the effort is going.

Designing and manufacturing engineered lifting solutions (cranes)

This is the foundation, designing and building the actual machines. While new crane sales face headwinds, like the ongoing U.S. tariff pressures, the overall order book remains substantial. Orders in the third quarter of 2025 hit $491.4 million, which brought the total backlog up to $666.5 million as of the end of September 2025. You can expect about 60% of that backlog to ship out before the year ends. The company still manufactures under key brands like Grove, Manitowoc, National Crane, and Potain.

Here's a quick look at the Q3 2025 performance snapshot:

Executing the 'CRANES+50' strategy to grow high-margin aftermarket services

The push to grow non-new machine sales is definitely a primary activity, designed to bring in more consistent, higher-margin revenue. The trailing 12-month non-new machine sales reached $667 million, which is right on the heels of the CRANES+50 goal to reach approximately $675 million by 2026, based on a 2021 baseline of $448.6 million. This segment is crucial because it generates roughly 35% in gross margins. In the third quarter alone, non-new machine sales were $177.4 million, showing a 4.9% increase year-over-year. This strategy helps offset softness in the Americas new crane demand due to tariffs.

The focus areas fueling this strategy include:

• Grow tower crane rental and aftermarket business in Europe.
• Build out the China Belt and Road tower crane business.
• Reinvigorate all-terrain crane offerings for service growth.
• Expand aftermarket activities in North America.

New product development, including hybrid-electric and smart technology cranes

The Manitowoc Company, Inc. is actively developing technology to meet sustainability demands. They introduced new Grove plug-in hybrid all-terrain cranes, the GMK5150L-1e and GMK5150XLe, at bauma 2025. These models feature fully electrified superstructures with a 180 kWh battery pack, enabling up to five hours of emissions-free lifting, or up to 20 hours when plugged into the grid. Furthermore, using HVO 100 fuel can cut travel-related CO₂ emissions by up to 90%. Since January 2021, the company has launched 40 new or refreshed models.

Smart technology integration is also a key activity, exemplified by digital tools like Grove Connect and Potain Connect telematic systems. Even within internal processes, AI integration in the first quarter of 2025 helped automate tasks, saving an estimated 2,000 man hours and avoiding $400,000 in costs. That's defintely a concrete win for efficiency.

Managing a global supply chain and manufacturing footprint

Managing the flow of materials and finished goods across a global footprint is critical, especially with trade policy uncertainty. The company has been actively taking actions to offset tariff impacts. Based on what was known, they modeled $60 million of incremental costs from tariffs, with mitigation plans designed to cover 80% to 90% of that impact. The manufacturing footprint includes facilities like the one in Zhangjiagang, China, which produces tower cranes for Belt and Road markets.

Operational efficiency and cost improvement via 'The Manitowoc Way' (Kaizen culture)

Continuous improvement, known as The Manitowoc Way, is a core activity driving margin expansion. This culture emphasizes executing kaizens (continuous improvement events). The results are showing up in the financials; Adjusted EBITDA for Q3 2025 climbed 30.2% year-over-year to $34.1 million, resulting in an Adjusted EBITDA margin of 6.2%. Safety improvements are also tracked, with the Recordable Incident Rate (RIR) reduced from 1.77 in 2016 to 1.19 in 2024. Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Key Resources

You're looking at the core assets The Manitowoc Company, Inc. relies on to generate value, and honestly, they're quite tangible.

The foundation rests on a portfolio of strong global crane brands. You're talking about established names like Grove, Potain, National Crane, and of course, Manitowoc itself. These brands represent decades of engineering and market presence across various lifting solutions, including mobile telescopic cranes, tower cranes, lattice-boom crawler cranes, and boom trucks.

The physical and intellectual assets are significant. The Manitowoc Company, Inc. maintains global manufacturing, distribution, and service facilities across 20 countries in the Americas, Europe, and Asia Pacific. This network supports the intellectual property embedded in their crane design and manufacturing processes. For instance, Potain tower cranes are produced in France, Portugal, Italy, India, and China, while Grove mobile telescopic cranes are made in Pennsylvania, Germany, and Italy.

A key part of the direct-to-customer strategy involves the wholly owned subsidiary, MGX Equipment Services. This distribution arm provides new and used equipment sales, an extensive crane rental fleet, OEM parts, and repair/remanufacturing services across various US territories, having recently expanded its footprint through acquisitions.

The current operational strength is clearly visible in the order book. The strong order backlog, which was reported at $666.5 million as of Q3 2025, provides near-term revenue visibility. This backlog figure was slightly varied in some reports, ending the period at $667 million.

Here's a quick look at the Q3 2025 performance metrics that underpin the current resource valuation:

The focus on recurring revenue streams is a critical resource, evidenced by the $177.4 million in non-new machine sales during the third quarter, an increase of 4.9% year-over-year. This strategy aims to lessen the impact of new crane market cyclicality.

For aftermarket support, The Manitowoc Company, Inc. relies on its global Manitowoc Crane Care program, which offers parts, service, and training 24 hours a day, 365 days per year. While the exact number of field service technicians wasn't explicitly stated as over 460 in the latest reports, the company employs approximately 5,200 people overall to support its global operations and aftermarket needs. The European tower crane business, a key area of focus, saw new machine orders increase by 34% compared to last year in Q3, marking its fifth consecutive quarter of year-over-year improvement.

Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Value Propositions

Comprehensive engineered lifting solutions across the product lifecycle.

The average age of cranes in the field is greater than 15 years relative to historic levels of 7-9 years.

High-margin, recurring aftermarket services (parts, service, rental, used sales).

• Trailing Twelve Month (TTM) non-new machine sales reached a record $667 million.
• Non-new machine sales for the third quarter of 2025 were $177.4 million, up 4.9% year-over-year.
• Full-Year 2024 non-new machine sales were $629.1 million.
• TTM non-new machine sales growth is reported at +8% TTM.
• The CRANES+50 strategy is focused on increasing this mix of higher-margin, recurring revenue.

Maximizing customer return on invested capital through efficient equipment and support.

Third-quarter 2025 Adjusted EBITDA was $34.1 million, an increase of 30.2% year-over-year.

The Adjusted EBITDA margin for Q3 2025 expanded by 120 basis points year-over-year to reach 6.2%.

Operational improvements include Zhangjiagang productivity at +30% earned hours and a Recordable Incident Rate (RIR) down 36%.

Technology focus on sustainability (hybrid power) and advanced digital tools.

The Manitowoc Company, Inc. continues to invest in new product development.

Reliability and a 120-year tradition of quality in the crane industry.

The Manitowoc Company, Inc. was founded in 1902.

Third-quarter 2025 net sales were $553.4 million, up 5.4% year-over-year.

The company's brands include Grove, Manitowoc, National Crane, Potain, Shuttlelift, and MGX Equipment Services.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Customer Relationships

You're looking at how The Manitowoc Company, Inc. interacts with its customers, which is clearly shifting toward a more service-centric relationship model, moving away from just selling iron. The leadership is pushing hard to smooth out the naturally cyclical nature of the crane business by building up recurring revenue streams.

Dedicated, high-touch relationship model through direct service technicians.

The Manitowoc Company, Inc. is actively increasing its field service technician count as a core part of servicing customers directly. This investment supports the strategic pivot, aiming to build a stronger, more responsive support network on the ground.

• CEO Aaron Ravenscroft stated a continuous push to add more field service techs.
• The company is focused on expanding its service presence across geographies in Europe, North America, and South America.
• This growth in service personnel is intended to support the aftermarket sales expansion.

Consultative sales approach focused on fleet lifecycle management and ROI.

The sales approach now leans heavily into consulting with crane owners about their entire fleet, not just the next purchase. This is about helping customers manage the Total Cost of Ownership (TCO) over the long haul. While specific ROI figures for customer fleets aren't public, the strategy is built on the principle that a data-driven lifecycle approach minimizes downtime and maximizes asset value.

Customer-focused service business model, moving away from product dominance.

The transformation is quantifiable by looking at the growth in sales that aren't new machines. This segment, which includes parts, services, rebuilds, and rentals, is key to achieving higher, more sustainable margins. As of mid-2025, revenues unrelated to new machine sales hit a new record, representing around 32 percent of all revenues. The long-term strategic aim is for aftermarket sales to account for 30-35% of the business.

Here's a look at the service business performance as of the third quarter of 2025:

Digital tools and telematics for remote diagnostics and fleet management.

The Manitowoc Company, Inc. is innovating its product and service offerings, which includes leveraging technology for better customer support. While specific internal telematics adoption rates aren't detailed, the broader lifting equipment market is seeing technological advancements like IoT and telematics integration to offer value-added systems. This focus aligns with the need to support a modern fleet and manage assets remotely, which is a growing expectation in the industry.

The company's strategy involves:

• Innovating product and service offerings.
• Expanding financing options for customers.
• Propelling aftermarket growth.

Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Channels

You're looking at how The Manitowoc Company, Inc. gets its engineered lifting solutions and support services into the hands of customers, and the story in late 2025 is a clear pivot toward recurring, higher-margin revenue streams.

Direct sales and service through wholly-owned subsidiaries, primarily MGX Equipment Services, is a key channel showing strength. The strong execution by this distribution business helped drive The Manitowoc Company, Inc.'s third-quarter 2025 results, which saw net sales increase by 5.4% year-over-year to $553.4 million. MGX Equipment Services itself offers new and used cranes, rental, OEM parts, repair, remanufacturing, and even crane operator training under the NCCCO national certification programme. The company expanded its direct-to-customer footprint in February 2025 by acquiring certain crane assets of Ring Power Corporation, adding support in Georgia, North Carolina, and South Carolina.

The independent, authorized third-party dealer network is currently navigating market uncertainty. For instance, in the second quarter of 2025, third-party dealers in the U.S. were reluctant to commit to orders due to uncertainty around tariffs. This softness in the traditional dealer channel was more than offset by higher orders in MGX, as end customers placed orders to lock in pricing on in-stock units. The Manitowoc Company, Inc. operates across three geographical segments: Americas, Europe and Africa, and Middle East and Asia Pacific.

The focus on dedicated parts and service centers for aftermarket support is central to the CRANES+50 strategy, which aims to grow non-new machine sales. Non-new machine sales, which include parts, service, used machine sales, and rentals, hit $177.4 million in Q3 2025, marking a 4.9% increase year-over-year. On a trailing twelve-month (TTM) basis as of Q3 2025, these non-new machine sales reached a record $667 million, which accounted for roughly 30.8% of the total TTM net sales of $2.16 billion. To support this, The Manitowoc Company, Inc. is expanding its aftermarket activities in North America, opening a new service center in Kansas City and planning one in Denver. In Europe, new service locations were added in Madrid, Meru (Paris), and Barnsley.

The direct-to-customer rental fleet is another growing component of the aftermarket channel. The company is investing capital here, with full-year 2025 guidance showing $23 million of capital expenditures related to the rental fleet. As of May 2025, original equipment costs in the rental fleet grew from $113 million to $169 million. This channel provides greater flexibility and market participation, as seen when the company acquired assets of Honnen Equipment Co.'s crane rental fleet in October 2024, expanding its presence in Colorado, Wyoming, and Nebraska.

Here's a quick look at the revenue composition driving channel strategy as of the third quarter of 2025:

The investment in the service side is also reflected in personnel growth:

• North America Service Techs increased by over 38%, from 119 to over 160.
• Europe Service Techs increased by 24%, from 154 to over 190.

Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Customer Segments

You're looking at how The Manitowoc Company, Inc. structures its sales across different end-markets as of late 2025. The core of their business remains selling engineered lifting solutions, but the real value driver, per their CRANES+50 strategy, is the less cyclical aftermarket business.

The Manitowoc Company, Inc. reports through two primary geographic segments, Americas and Europe and Africa ("EURAF"), which directly reflect where their customer base is concentrated and how market dynamics affect them. For instance, in the third quarter of 2025, total net sales were $553.4 million.

The strategic shift is evident in the revenue mix. While new machine sales are cyclical, the aftermarket business is the focus for stable returns. As of the third quarter of 2025, non-new machine sales-which include parts, service, used machine sales, and rentals-accounted for $177.4 million of that quarter's sales, a 4.9% year-over-year increase. On a trailing twelve-month (TTM) basis ending Q3 2025, these non-new machine sales hit a record of $667 million, representing approximately 30.8% of the TTM net sales of $2.16 billion.

Here is a breakdown of the key customer groups The Manitowoc Company, Inc. serves, informed by their recent performance metrics:

• Large global construction and infrastructure companies. These customers drive large new crane orders, though demand in the Americas segment faced softness in Q3 2025 due to ongoing U.S. tariff pressures.
• Specialized lifting contractors and crane rental companies. This group is a primary driver for the growing aftermarket business, supported by brands like MGX Equipment Services.
• Energy sector clients (generation and distribution projects). This is evidenced by activity in dynamic regions, such as the Middle East, which saw orders for 16 large tower cranes for a UAE data center project in Q2 2025.
• Government and public works projects (e.g., U.S. Infrastructure Investment). While not explicitly quantified by segment, the overall health of the Americas segment reflects the pace of domestic capital spending.

The geographic performance highlights where these segments are most active:

The company's strategy is explicitly geared toward serving these customers with more recurring revenue. The goal of the CRANES+50 strategy is to grow non-new machine sales to $1 billion. The Q3 2025 results show they are progressing, with TTM non-new machine sales at $667 million.

You should watch the mix closely; in Q3 2025, total sales grew 5.4% year-over-year, but the aftermarket growth rate was 4.9%, slightly trailing the overall sales growth, which is a near-term risk to the margin expansion thesis. Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Cost Structure

You're looking at the core expenses that drive The Manitowoc Company, Inc.'s operations as we head toward the end of 2025. Honestly, for a heavy equipment manufacturer, the costs are dominated by what it takes to build those massive cranes.

The Cost of Goods Sold (COGS) is definitely the largest component, reflecting the raw materials, components, and direct labor for crane production. For the fiscal year ending December 31, 2024, the reported Cost of Goods Sold was $1.80B. Keep in mind that Q3 2025 net sales were $553.4 million, so the full-year COGS will be significantly higher than the 2024 figure, given the sales growth mentioned.

Next up are the overhead costs, captured in Engineering, Selling, and Administrative (SG&A) expenses. While the exact 2025 dollar amount isn't set yet, management noted that adjusted SG&A expenses as a percentage of sales were flat year-over-year in the third quarter of 2025, suggesting cost control relative to revenue growth.

We have some specific forward-looking cost estimates you need to factor in for the 2025 fiscal year:

• The impact of trade policy is clear, with incremental tariff costs modeled at approximately $60 million for the full year 2025.
• Financing costs are relatively stable; interest expense is guided to be between $38 million and $40 million for the full-year 2025.

Investment in the business, particularly for future revenue generation through the rental channel, is also a key cost. Capital expenditures for the rental fleet are projected to be approximately $23 million for 2025. For context, Q3 2025 saw $8 million in total Capital Expenditures, with $3 million specifically allocated to the rental fleet.

Here's a quick look at the key cost structure elements we are tracking for 2025, using the guided and latest available annual figures:

Finance: draft 13-week cash view by Friday.

The Manitowoc Company, Inc. (MTW) - Canvas Business Model: Revenue Streams

You're looking at how The Manitowoc Company, Inc. (MTW) actually books its revenue, and honestly, it's split between selling big, new equipment and the more consistent, high-margin aftermarket business. For the third quarter of 2025, the company booked total net sales of \$553.4 million. That quarter's performance was clearly supported by both sides of the ledger, but the non-new machine segment is the real story for stability.

The core revenue streams break down into new machine sales-think mobile hydraulic, tower, and crawler cranes-and the non-new machine category, which covers aftermarket parts, service, used equipment, and rentals. In Q3 2025, the non-new machine sales hit \$177.4 million. Here's the quick math: that means the new machine sales for the quarter were \$376.0 million ($\text{553.4 million} - \text{177.4 million}$). It's defintely a mix, but the aftermarket is growing its share.

The strategic focus on the less-cyclical business is showing up in the trailing twelve months (TTM) figures leading up to Q3 2025. Non-new machine sales reached a record \$667 million on a TTM basis. This segment is crucial because it generally carries higher gross margins, helping to offset volatility in new equipment orders.

Here's a snapshot of how those revenue streams looked around the Q3 2025 reporting period:

Looking forward, The Manitowoc Company, Inc. is projecting the full scope of its revenue for the entire 2025 fiscal year. Management's guidance for full-year 2025 Net Sales is set in a range between \$2.175 billion and \$2.275 billion.

The composition of the non-new machine revenue stream is what you want to track closely, as it represents the company's push for more predictable income:

• Aftermarket parts and service sales.
• Used equipment sales.
• Rental fleet revenue generation.
• Non-new machine sales grew 4.9% year-over-year in Q3 2025.
• TTM non-new machine sales growth was 8% over the prior twelve months.

Finance: draft 13-week cash view by Friday.