Hannibal makes Integration and Engineering Services available to entire customer base
With more than $1 billion in completed turnkey projects, Hannibal is the end-to-end material handling solutions provider for today Hannibal, now a part of Nucor and the largest pallet rack manufacturer in North America, has announced it is offering complete integration and engineering services to the company’s entire customer base. As the global supply chain has revved up recently, requiring warehouse space to expand at a record pace, Hannibal has grown to provide the end-to-end material handling solutions its customers need. “Over the last several years, Hannibal has been honing its integration services in concert with a select group of clients, building a team that has tackled the largest and most intricate warehouse projects,” said Steve Rogers at Hannibal. “Working in an environment of unprecedented supply chain interruption and scarcity, Hannibal has partnered with the strongest suppliers in the industry, along with the supply assurance of our parent company Nucor – the nation’s largest and most diverse steel manufacturer – to meet demand and deliver projects, completely and on-time.” Hannibal has completed more than $1 Billion in its end-to-end material handling projects since initiating its turn-key solutions just a few years ago. The company’s integration services provide material handling solutions from concept to completion, including engineering, permitting, design, environmental health and safety (EHS), installation, fire suppression, and implementation. Offering integration and engineering services that reach beyond traditional needs to include seismic compliance and severe weather preparation, in conjunction with owning the manufacturing process, will help alleviate supply chain challenges for companies. This expansion underscores the flexibility, depth, and commitment of Hannibal as it evolves to support the supply chain.
Pantero acquires Ampro Material Handling supplier
The acquisition adds expertise in warehouse automation and material handling Pantero has announced the acquisition of Ampro Material Handling, a Detroit-area racking and material handling supplier since 1969. The acquisition will allow Pantero to expand its material handling solutions for its warehouse and distribution customers. Over the past 52 years, Ampro has made a name for itself in southeastern Michigan and beyond for high-quality material handling solutions, including warehouse racking, flow racks, mezzanines, and much more. In addition to providing in-stock pallet racking, they can custom design and install complex racking systems for warehouse facilities. They also offer custom fabrication and warehouse layout design services. Andrew Reid, Pantero Director of Operations, says, “Ampro has a wealth of experience in pallet rack & warehouse layout solutions, bringing expanded capabilities to Pantero that we can now offer to our customers. At the same time, we can offer Ampro clients a large range of packaging materials and warehouse supplies. We are excited to bring our teams together to better serve our customers.” Glen Hope, the owner of Ampro, Inc., has over 40 years of experience in the material handling business. He will remain with the combined company as the acting manager of Pantero’s Material Handling division. He says, “I’m looking forward to joining the Pantero team. I believe our shared philosophies of providing outstanding customer service and bringing exceptional value to our customers align well between our two companies.” Pantero and Ampro are both located in the Detroit area, and both focused on meeting the needs of the warehouse, logistics, packaging, and distribution industry. Pantero currently offers a wide range of packaging, warehouse, and janitorial supplies and equipment. Their comprehensive catalog, commitment to customer service, and same-day/next-day delivery service have earned a strong following in the southeastern Michigan area. The acquisition will allow Pantero to offer a one-stop service for warehouse supplies, equipment, custom warehouse solutions, and design services. Mr. Hope says, “I believe that together the products and services we offer can bring great value to our mutual customers. The Ampro team looks forward to continuing to meet and exceed our customer’s expectations as part of the Pantero family.” Martin Reid, Pantero Director of Sales, says, “Bringing our companies together allows us to bring more value to both of our customer bases. With the experience that Glen and his team bring, we can offer much more comprehensive solutions for facility design, space-saving analysis, installation, and consumable supplies. Together, we can help our customers make their operations more efficient, cost-effective, and future-ready.”
The MHEFI Exceptional Contribution Award presented to Arlin Keck
Steel King Industries, a manufacturer of storage rack and material handling products, is proud to announce Arlin Keck P.E., Steel King, Corporate R&D Engineer, has received the Material Handling Education Foundation, Inc. (MHEFI) Exceptional Contribution Award. The award is presented to individuals, organizations, or corporations who contribute to the material handling industry in extraordinary ways. Keck has worked in the material handling industry since 1973 and has been with Steel King since 2005. As an engineering leader and active member of the Storage Manufacturers Associations (SMA), Keck was chosen to receive this prestigious award for his extraordinary contributions to engineering standards for not only SMA but for storage materials throughout the industry. “We are privileged to have Arlin Keck as a key member of the Steel King engineering team for over sixteen years. In his service to Steel King, Arlin has facilitated the growth of Steel King’s capabilities beyond prior constraints and target market sectors. He has contributed greatly to our rapid growth,” stated Jay Anderson, president at Steel King Industries. Anderson continued, “Now in his fifth decade of engineering within the material handling industry, Arlin is a practical yet very creative engineer. In his many years as Engineering Committee Chairman for SMA, Arlin has led that group in raising the standards of design integrity and user safety for the entire universe of manufacturers and the larger user community. As Arlin transitions from a leadership role within SMA, on behalf of all Steel King team members, dealers, and end-users, I thank and salute him for his service to our industry. Well done, Arlin!” During his time as the SMA engineering committee chair, Keck led the group in raising design standards and user safety code excellence for the entire group of member companies and the larger user community. “Arlin’s positive energy drove the engineering committee to get things done. He always was willing to help, and his positive attitude made it easier to get through some dry information faster,” stated Kevin P. O’Neill, president, Steele Solutions and SMA Industry Group Chair. Take a moment to watch the video in which industry experts attest to the enormous, lasting contributions that Keck made to both the industrial storage equipment industry and the material handling industry as a whole.
Legacy Tension Fabric buildings feature structural steel frame
Combining rigid-frame engineering with the proven benefits of tension fabric membranes, Legacy Building Solutions offers superior quality fabric structures that are fully customizable. This design concept provides a high level of flexibility for a wide array of applications and industries, including commercial and industrial warehousing, cold storage facilities, equipment and bulk material storage, and many more. Legacy fabric buildings utilize a durable rigid frame in place of the hollow-tube, open web truss “hoop” framing traditionally used for fabric structures. The strength of the structural steel frame provides several engineering advantages, most notably the ability to easily customize buildings to the exact width, length, and height required. In addition to long clear spans, the buildings have straight sidewalls that maximize the useable square footage inside the structure. The design allows for much more structural flexibility than traditional fabric structures, including the ability to add lean-tos, mezzanines, sidewall doors, and more. The structures are also engineered to provide desired overhangs or handle additional loads for items such as sprinklers and conveyors. Unlike hollow tube steel, Legacy’s solid structural steel I-beams are not vulnerable to unseen corrosion originating inside a tube. Additionally, there are multiple coating options available for all steel components, including epoxy paint, hot-dip galvanizing, primer, and powder coat paint. Legacy buildings feature high-quality fabric roofs that eliminate the corrosion concerns associated with metal-constructed facilities. A variety of fabrics are available, including 27-ounce ExxoTec™Elite and 19-ounce ExxoTec Pro, both of which are premium PVC fabrics with superior strength and performance characteristics. The durable fabric allows natural light to permeate the structure during daytime hours, while insulation and liners can be added to meet energy codes or satisfy customer specifications. Installation is up to three times faster than with conventional buildings, and the design can be adjusted for stationary or portable applications. Sidewalls can be customized and built with any desired material — including steel, concrete, or stone — and then easily lined with fabric to prevent corrosion to the interior, or to create a seamless look for occupied buildings. Legacy steel components and fabric covers are backed by a comprehensive warranty. Legacy Building Solutions was the first manufacturer of fabric-covered buildings to incorporate structural steel beams instead of open web trusses. The company offers assistance from concept to completion, including renderings, foundation design, installation, and project management. To date, Legacy’s in-house, professional installation crews have constructed more than 35 million square feet of fabric buildings. Committed to quality and continuous improvement, Legacy maintains ISO 9001:2008 and CSA A660-10 certification.
TFS acquires Curlin Material Handling Solutions
Acquisition incorporates new capabilities and an expanded team for TFS Racking & Automation Division TFS, an OnPoint Group Company, and provider of brand-independent forklift fleet management services have announced that it has acquired Curlin Material Handling Solutions. This acquisition brings new capabilities to the TFS Racking & Automation Division. Dedicated to helping manufacturing, retail, and distribution companies meet growing eCommerce demands, TFS Racking & Automation specializes in delivering operational improvements to address space constraints, increase flexibility, and lower total cost while forgoing over-investing in the latest automation trend. “We welcome Curlin Material Handling Solutions to the TFS family, expanding our capabilities to help businesses manage greater SKU variability and higher delivery speed at a lower cost. Curlin’s expertise in conveyor systems is a great asset for our clients,” said Michael Quimby, TFS Chief Operating Officer. “We are committed to growing our Racking & Automation Division, ensuring our customers have the tools they need to optimize their facilities and meet rising customer demands. Curlin adds expertise in the design, integration, and maintenance of conveyor systems for regional and national customers that need reliable, no-nonsense automation options,” said Tom Cox, OnPoint CEO. Since 1940, Curlin Material Handling Solutions has been a dependable integrator of material handling systems and solutions across Florida, with a specialty in the integration of complex receiving, storage, process conveyor, sortation, and loading dock systems. “We believe TFS Racking & Automation Division is the right partner to let us share our expertise, specifically in conveyor capabilities, with a nationwide clientele,” said Bob Gesemyer, Owner of Curlin Material Handling Solutions. “We are thrilled to support TFS Racking & Automation in helping businesses implement significant improvements at their facilities.”
Hammerhead Material Handling
Craemer Group introduces the TC3-5 Palgrip® the completely closed plastic pallet
Craemer Group has introduced the TC3-5 Palgrip®, the completely closed plastic pallet with a fully anti-slip coated top deck that puts safety and hygiene at the forefront. TC3-5 Palgrip® is free from cavities or ribs, ensuring reliable protection from contamination or water ingress, and is popular in the food and pharmaceutical industries. It’s also resistant to cold and heat between -22° F (-30° C) and 104° F (40° C) and offers absolute slip resistance – even when wet or in high humidity conditions, making it especially fitting for dairy and oil & gas too.
TFS creates new Racking & Automation division
TFS, an OnPoint Company, the first brand-independent fleet management organization providing turnkey services to Fortune 100 and large manufacturing, retail, and distribution companies in North America, has announced the creation of a new division dedicated to racking and automation. Aligning TFS’s decades of expertise optimizing material handling equipment fleets with a shifting market landscape demanding ever greater delivery speed, product variability, and lower prices, TFS has created a new dedicated business division named TFS Racking & Automation Division. The division’s goal is to help customers address their space, flexibility, and automation needs. “Ryan Boyd’s appointment formalizes and commits additional resources to what TFS has been doing for years—solving customers’ space and productivity issues with racking and automation solutions. The move towards eCommerce and omnichannel has driven increased demand from our customer base for these services,” said Michael Quimby, TFS Chief Operating Officer. “The last two years have accelerated the eCommerce revolution. The customer experience is being dictated more and more by warehouse capabilities rather than the retail experience. TFS is helping distributors and manufacturers compete with the eCommerce giants of our time by designing and implementing roadmaps that optimize current facilities and move them to full automation over time,” said Ryan Boyd, VP of the TFS Racking & Automation Division. Through better fleet management, TFS delivers life cycle cost savings in excess of 15% through the management of customers’ material handling equipment. TFS experts perform onsite analysis and improve equipment systems across customer locations, delivering data-driven solutions and total control to the most unmanageable assets in a customer’s facility: their mobile equipment.
Midlands Pallet Trucks goes offshore thanks to robust manual handling equipment
Midland Pallet Trucks, a provider of high-quality manual handling equipment including pallet trucks, manual stacker trucks, and lift tables, is celebrating its relationship with Safelift Offshore Ltd, an oil industry onshore and offshore supplier by providing tough manual handling equipment able to cope with the demands of arduous environments. Safelift Offshore recently procured 18 x 2-tonne pallet trucks, 36 x 2.5-ton pallet trucks, and specialist stainless steel pallet trucks constructed using none corrosive materials from Midland Pallet Trucks. The large order has left the mainland and is now situated on the Deep Arctic supply ship currently located in the North Sea. The 12-year-old vessel is tasked with providing offshore support and has a gross tonnage of 18640, with many crew members to help it carry out its vital work in the North Sea and around the Scottish coast. The challenging environment – which includes harsh winds, sea spray, and demanding conditions – calls for access to robust manual handling equipment impervious to corrosion and rust. Midland Pallet Trucks specialist solutions are made from AISI304 grade stainless steel. They can be trusted by crew members of the Deep Arctic who need to move machinery, parts, and general loads around the ship with ease. “We are proud to be able to serve the needs of the Deep Arctic offshore vessel thanks to our sturdy range of pallet trucks designed for the most challenging of conditions,” said Phil Chesworth, Managing Director of Midland Pallet Trucks. “Many of our products offer corrosion-resistant materials, but having so many of our trucks operating out at sea is a testament to their robust quality and first-rate manufacturing.”
Nucor acquires Hannibal Industries for $370 million
Nucor Corporation announced today that it has entered into an agreement to purchase Hannibal Industries, Inc. for $370 million, which represents 6.9x EBITDA for the trailing twelve months ended March 2021. The company is a national provider of racking solutions to warehouses and serves the e-commerce, industrial, food storage, and retail segments. Pending approvals, Nucor will purchase 100 percent of Hannibal Industries’ outstanding shares from its Employee Stock Ownership Plan (ESOP). “Acquiring Hannibal Industries gives us a new growth platform and broadens our offering to the fast-growing warehouse channel, and complements our current product capabilities, including beams, joists and deck, metal buildings, and insulated metal panels,” said Leon Topalian, president and Chief Executive Officer of Nucor Corporation. “This acquisition reflects our strategy of expanding beyond our core steel businesses and establishes a new area for Nucor to pursue a market leadership position.” Hannibal Industries has manufacturing facilities in Los Angeles and Houston, as well as three distribution centers. It utilizes sheet and bar steel, as well as steel decking, wire deck, and fasteners to produce its racking solutions, providing potential supply chain efficiencies with other Nucor businesses. In addition to manufacturing racking solutions, Hannibal Industries works closely with customers during the construction and design phases of a warehouse build-out by offering turn-key services such as installation, procurement, and facility integration. “Acquiring Hannibal Industries further deepens our ability to serve warehouse and distribution customers when coupled with our pending purchase of Cornerstone Building Brands’ insulated metal panels business,” said Rex Query, Executive Vice President, Sheet and Tubular Products. “In addition, having been an employee-owned company, we believe Hannibal Industries will be a natural fit with Nucor’s teammate-centered company culture.”
Steel King announces 2020 Most Valuable Dealer Award
Despite the challenges of the pandemic, Cisco-Eagle wins the warehouse, logistics, material handling industry honor Steel King Industries®, a manufacturer of storage rack and material handling products, announces that Cisco-Eagle Incorporated, a material handling systems and equipment provider, has won their Most Valuable Dealer Award for 2020 activity. To earn this honor in 2020 is particularly impressive, due to the challenges brought on by the worldwide pandemic. Cisco-Eagle, with partner locations in Texas (Dallas, Houston, San Antonio), Oklahoma (Tulsa, Oklahoma City), and Arkansas (Little Rock), enjoys elite status as a Steel King Excalibur dealer located in Tennessee (Nashville). The MVD award was launched in 1996 by Steel King to recognize the achievement of top channel partners in the warehouse, logistics, material handling, and facility management industry. A variety of factors were considered in determining the MVD, including the achievement of sales and marketing action items. When asked to comment on the honor, Darein Gandall, Cisco-Eagle president, stated, “Cisco-Eagle has been in business for over 50 years, and for over 40 years we have partnered with Steel King. It is one of our best partnerships. To be chosen as their most valuable dealer is a huge honor for us! Steel King places a premium on partnership and so do we.” Don Heemstra, Steel King VP Sales added, “We congratulate Cisco-Eagle on achieving Most Valuable Dealer status for 2020, the seventh time they have achieved this. For a company to show year-over-year growth and position themselves as an industry leader with their sales and marketing efforts is impressive, especially as it was achieved during a worldwide pandemic. Our hats are off to Cisco-Eagle leadership and all their employee-owners. Well done.” Celebrating 50 years in business, Steel King Industries has earned a national reputation for engineering and manufacturing high-quality material handling solutions that are “Built To Deliver®” and “Built To Last”.
Invert entire Pallet loads quickly and safely
The PalletPal Inverter from Southworth inverts fully loaded pallets in a matter of seconds. It is a faster, safer, and easier alternative to manual restacking which requires workers to bend, reach, stretch and lift heavy loads. Pallet inversion can be necessary for several reasons including as part of a shipping and receiving process; swapping from in-house to shipping pallets or slipsheets; or dealing with damage to pallets or goods, broken boards or boxes/bags hit by forks. PalletPal Inverters are also commonly used in food, pharmaceutical, and chemical processing applications to turn inventory for freshness or to prevent mixtures from separating or settling. In operation, a full pallet with a second pallet on top of the load is placed into the inverter where two double-acting hydraulic cylinders securely clamp the load. The clamping mechanism features user-adjustable pressure control to assure that lighter loads will not be crushed. A five-button momentary contact pushbutton is used to engage the clamp and also rotate the load either clockwise or counterclockwise. A 3.2 HP motor rotates the load on a heavy-duty turret bearing. Rotation is smooth and can be stopped in any position. Loads can be fully inverted in under 20 seconds. Three standard models are available with the largest accommodating loads measuring up to 48” x 48” x 84” and weighing up to 4400 lbs.
Safety at Work: How training and technology help achieve goals
No matter the size or type of material handling organization, safety is frequently a top consideration. How to keep employees safe, operate equipment smoothly, and keep a facility in good working condition all play into such decisions. OSHA cites that the most frequently reported cause of lost or restricted work time is work-related musculoskeletal disorders caused by routine lifting of heavy objects, daily exposure to vibration, routine overhead work or work with the neck in a chronic flexion position, according to Don Buckman, divisional environmental, health and safety manager for Hyster Company. “Proper ergonomics can help reduce stress and injuries associated with the overuse of muscles, bad posture, and repeated tasks. It also plays a part in maximizing the productivity of lift truck operators,” he said. Buckman said ergonomic experts at Hyster focus on providing features offering lift truck operators easier entry and exit, improved foot space, better body position, and enhanced visibility. Training and product design Hyster’s customers rely on robust, OSHA-compliant training programs, customized to their specific trucks to help operators become proficient users, according to Buckman. “Intensive applications must maintain constant vigilance when it comes to safety, and work to overcome challenges like widespread skilled labor shortage and high turnover,” he said, noting that immersive reality simulators are helping Hyster customers supplement operator training without taking equipment out of service. At ProMat DX in April, Hyster highlighted two award-winning designs that can help workers maintain an ergonomically sound operating position, according to a company release. The examples included the new cab design for Hyster Big Trucks and the J50-60XNL, which “prioritize operator comfort and performance with features built to provide easier entry and exit, improved foot space and enhanced visibility,” the statement said. Lift truck telemetry systems can also help in creating a safety culture and in improving operator accountability, according to Buckman. “Onboard sensors that track truck information by the specific operator provides visibility to their travel locations, idle time, and impact alerts,” he said, noting that the system can identify performers who may require more training. “The system can also limit truck performance based on operator skill level. For example, new hires might have their trucks capped at slower speeds to help reduce potential risk while more experienced operators can still operate the same truck at levels that allow maximum performance,” Buckman said. At Hyster, Buckman recommended that companies stress that operators and supervisors stay focused on safety. “In addition to ergonomics and other safety features like lights and alarms, technology can help businesses reinforce operating best practices,” he said. A product-driven safety boost At Custom Industrial Products, safety is an associated benefit of its product lines. The company, founded in 1995 by husband-and-wife team Henry and Darlene Taylor, is Florida-based. The company manufactures VRC Material Lifts for integrators, architects, and material handling companies. The products offer a host of safety benefits, said Rob Railis, director of business development. “The VRC’s themselves help with the area of safety,” he said, noting their work in moving materials out of the way in a warehouse and in preventing forklift injuries. “This is a fairly low-cost way of improving the safety, especially when compared to elevators,” Railis said. The cost of a VRC is about a third to a quarter cheaper than the cost of an elevator when considering maintenance, inspections, and related personnel, said Jake Jakobson, manufacturing engineer for Custom Industrial Products. The VRC features benefits for operators as well. “In a lot of ways it is an ergonomic feature, moving materials from one floor to another,” said Jakobson, comparing the difference to the risks to using a ladder, moving products by stairs or transferring from floor to floor lifting the product overhead with a forklift “Ergonomically, it helps to prevent injuries,” he said. Jakobson said the units are designed for industrial use and with safety in mind, in some ways mimicking such features found on elevators although in a quicker fashion. The (VRCs) are programmed to stop quickly when needed and feature braking systems designed to stop with overrated loads. The systems are also certified in the state of Pennsylvania, which is home to a program of certification. “It allows us to sell within the state of Pennsylvania, but also tells the customer we are going the extra mile,” Jakobson said. All units meet 508A standards for control systems and incorporate additional safety measures, according to Jakobson. “We have a push-button station which will tell you whether the door is open or not or whether the doors are latched. There is a secondary indication if a program has occurred in the system. It will not allow you to operate until the major fault is cleared,” he said. The products also include a safety locking system that will not allow the system to operate if anything went wrong with the loading of products. Custom Industrial Products has customers ranging from small to large, and therefore including somewhat different safety considerations, according to Jakobson. Smaller operations are more concerned with basic safety, he said. “They like that we put in a tell-tale diagnostic system, which tells where problems are,” Jakobson said. “Larger and medium companies, their safety is a lot of times either safety manager driven or by the employee safety committee.” With all customers, Jakobson said the company likes to stress safety and to help train users in operation. In the future, Jakobson said leaders at Custom Industrial Products are consistently looking at different products and ways to make their products more efficient at the same time more sustainable to match with green initiatives by companies. “We are constantly looking for different products to help us out and to move forward and change,” he said. About the Author: Eileen Schmidt is a freelance writer and journalist based in the Greater Milwaukee area. She has written for print and online publications for the past 13 years. Email editorial@MHWmag.com or visit eileenmozinskischmidt.wordpress.com to contact Eileen. If your company would like to be featured, email editorial@MHWmag.com
Myers Industries Reports 2021 First Quarter results with 21% organic sales increase
Sales increased 21% on an organic basis, 43% including Elkhart acquisition Myers Industries, Inc., a manufacturer of polymer products and distributor for the tire, wheel, and under-vehicle service industry, today announced results for the first quarter ended March 31, 2021. First Quarter 2021 Financial Highlights Net sales increased $52.2 million, or 42.7% to $174.4 million, including $27.1 million, or 22.2% from the Elkhart Plastics acquisition, compared with $122.3 million for the first quarter of 2020 Net income per diluted share was $0.20, compared with $0.47 for the first quarter of 2020, which included $0.24 from the sale of notes and release of lease guarantee liability related to the Company’s Lawn and Garden business sold in 2015 Adjusted earnings per diluted share were $0.22 in both the first quarter of 2021 and 2020 Cash flow from operations was $6.6 million and free cash flow was $1.4 million, compared with $5.0 million and $2.5 million, respectively, for the first quarter of 2020 The company announced two price increases during the first quarter in response to higher raw material costs President and CEO, Mike McGaugh said, “Our strong start to 2021, combined with the successful implementation of two price increases, and seamless onboarding of Elkhart Plastics, fortifies my optimism on our ability to create value for all of our stakeholders. The healthy demand across our core end-markets points to encouraging signs of a sustainable economic recovery. Strong demand was reflected as well in our recently acquired Elkhart Plastics business, which contributed $27 million to our top-line. I’m pleased with our team’s ability to quickly integrate the business, as well as with the progress we’re collectively realizing to identify both cost and growth synergies. “As a result of our growing confidence around the strength of the economic recovery and our business momentum, we are raising our sales guidance and expect to be at the higher end of our earnings guidance for 2021. We are mitigating the impact of elevated raw material costs and will be diligent in taking action to protect and ultimately expand our margins, as evidenced by the two price increases announced over the last few months. “I joined Myers just over a year ago and I’m extremely proud of the progress we’ve made in executing against our One Myers strategy. We’ve added new expertise and experience to our senior leadership team, optimized our corporate structure, and reinvested in our equipment and labor force to make Myers more efficient and more commercially focused. We also completed our first acquisition, which so far has exceeded our expectations and set the blueprint for future integrations. Our One Myers strategy has achieved early success and I look forward to updating our investors on our progress as we continue through 2021 and beyond. We’ve only just begun.” First Quarter 2021 Financial Summary Quarter Ended March 31, 2021 2020 % Inc (Dec) (Dollars in millions, except per share data) Net sales $174.4 $122.3 42.7% Operating income $10.9 $23.3 (53.4)% Adjusted operating income $11.9 $11.7 1.5% Net income $7.3 $16.7 (56.3)% Adjusted net income $8.0 $7.7 3.8% Net income per diluted share $0.20 $0.47 (57.4)% Adjusted earnings per diluted share $0.22 $0.22 0.0% Net sales for the first quarter of 2021 were $174.4 million, an increase of $52.2 million, or 42.7%, compared with $122.3 million for the first quarter of 2020, driven by increases in both the Material Handling and Distribution Segments. Excluding the $27.1 million net sales impact from the Elkhart acquisition, organic net sales increased 20% due to higher volume/mix and 1% due to favorable pricing and foreign currency exchange. Gross profit increased $7.9 million, or 18.7% to $50.4 million, primarily due to the increased contribution from sales volume and the Elkhart Plastics acquisition, which was partially offset by an unfavorable price-to-cost relationship, an unfavorable sales mix, and higher manufacturing costs during the quarter. The gross margin was 28.9% compared with 34.8% for the first quarter of 2020. Selling, general and administrative expenses increased $8.4 million, or 27.1% to $39.5 million, reflecting the Elkhart Plastics acquisition, higher incentive compensation costs, increased legal fees, and higher selling expenses. SG&A as a percentage of sales declined to 22.7% in the first quarter, compared with 25.5% in the same period last year. Net income per diluted share was $0.20, compared with $0.47 for the first quarter of 2020, which included $0.24 from the sale of notes and release of lease guarantee liability related to the Company’s Lawn and Garden business sold in 2015. Adjusted earnings per diluted share were $0.22, which was flat compared with the first quarter of 2020. First Quarter 2021 Segment Results (Dollar amounts in the segment tables below are reported in millions) Material Handling Net Sales Op Income Adj Op Income Adj Op Income Margin Q1 2021 Results $129.9 $16.9 $16.9 13.0% Increase (decrease) vs prior year 54.5% 11.6% 11.6% -500 bps Net sales for the first quarter of 2021 were $129.9 million, an increase of $45.8 million, or 54.5%, compared with $84.1 million for the first quarter of 2020. The increase was primarily due to the incremental $27.1 million of sales from the Elkhart Plastics acquisition completed in late 2020 and higher organic volume/mix. Sales increased in the food and beverage, vehicle, consumer, and industrial end markets. Operating income increased 11.6% to $16.9 million, compared with $15.2 million in 2020. Contributions from the higher volume and Elkhart Plastics acquisition were partially offset by an unfavorable price-to-cost relationship, an unfavorable sales mix, higher manufacturing expenses, higher incentive compensation costs, and increased legal fees. The Material Handling Segment’s adjusted operating income margin was 13%, compared with 18% for the first quarter of 2020. Distribution Net Sales Op Income Adj Op Income Adj Op Income Margin Q1 2021 Results $44.6 $1.4 $2.0 4.4% Increase (decrease) vs prior year 16.6% (22.3)% 5.2% -50 bps Net sales for the first quarter of 2021 were $44.6 million, an increase of $6.4 million, or 16.6%, compared with $38.2 million for the first quarter of 2020, driven by higher volume/mix. Volume
Wildeck Inc. welcomes Jon Mueller as new Chief Financial Officer
Wildeck, Inc. has announced that Jon Mueller is its new Chief Financial Officer. Jon will be responsible for the preparation, consolidation, and management of all financial activities for Wildeck. Jon and his team will also partner with each department to establish specific reporting and financial metrics to help run the business. Jon has 20+ years of progressive experience in financial management across multiple industries in small to large organizations. “We are excited to have Jon joining the team.” Commented Dan Lorenz, president of Wildeck, Inc. “His excellent track record of success in reputable organizations, including several manufacturers, made him our top pick for the role of Wildeck’s new CFO. I look forward to leveraging his valuable expertise as we continue to grow to unprecedented levels.” Jon earned a B.A. Degree in Accounting from Upper Iowa University, and has his CPA Certification, State of Wisconsin. Headquartered in Waukesha, WI, with additional manufacturing operations in Pewaukee, WI, and Goodyear, AZ. Wildeck, Inc. is a member of MHI (Material Handling Industry Association), MHEDA (Material Handling Equipment Distributors Association), FMA (Fabricators & Manufacturers Association, International), and the NAEC (National Association of Elevator Contractors). Wildeck is the largest manufacturer of structural steel mezzanine platforms, manual and automated vertical lifts (VRCs), rideable material lifts (RMLs), and safety guarding products in North America. A complete line of industrial rolling ladders, custom-designed work platforms, and other high access products are also available. Wildeck products improve supply chain productivity and provide additional capacity, efficiency, and safety in manufacturing plants, warehouses, distribution centers, third-party logistics operations, automobile dealerships, retail backrooms, and many other facilities. They are sold through a dedicated and experienced network of customer-service-oriented dealers and systems integrators nationwide.
Menasha Corporation recognized as a U.S. Best Managed Company
Menasha Corporation, the parent company of ORBIS® Corporation, has announced that it has been selected as a 2021 US Best Managed Company. Sponsored by Deloitte Private and The Wall Street Journal, the program recognizes outstanding U.S. private companies and the achievements of their employees. The 2021 designees have demonstrated excellence in strategic planning and business execution, a commitment to their people by fostering a dynamic, resilient culture, as well as strong financial performance. Despite major operating and market challenges caused by the COVID-19 pandemic, they continued to lead with purpose and with the goal of making significant contributions to their customers, workforces, shareholders, and communities. Menasha Corporation is one of 49 honorees out of 70 finalists and over 500 applicants. “It is an honor for Menasha Corporation to receive this award,” said Jim Kotek, president and CEO, Menasha Corporation. “It is our employees who are to be commended for this recognition — they demonstrate daily the importance of our company values and their incredible commitment to our customers cannot be overstated. The pandemic presented extra challenges for our employees in 2020 and I view this award as a testament to their extraordinary efforts and success.” Applicants are evaluated and selected by a panel of external judges and join a global ecosystem of honorees from more than 30 countries recognized by the Best Managed Companies program. Menasha Corporation is the only company in Wisconsin to receive this recognition. “As ORBIS celebrates its 25th anniversary, we’re honored to have our roots grounded in the 170+-year-old Menasha Corporation,” said Bill Ash, president, ORBIS Corporation. “It’s achievements like this that highlight the leading role our associates and partners play in making our organization what it is today.” About the Best Managed Companies Program The Best Managed Companies program is a mark of excellence for private companies. U.S. designees have revenues of at least $250 million. Hundreds of private companies around the world have competed for this designation in a rigorous and independent process that evaluates four key criteria in their management skills and practices — strategy, execution, culture, and financials. U.S. program sponsors are Deloitte Private and The Wall Street Journal. For more information, visit www.usbestmanagedcompanies.com.
Innovation expedites Warehouse Logistics in the largest, most challenging Work Platforms
Warehouse OEMs and integrators can accelerate successful project completion of even increasingly complex, automated systems with advanced platforms The growth of e-commerce is driving warehouse, distribution, and fulfillment centers to utilize larger structures, automated systems, and engineered elevated work platforms that can deliver faster logistics and shipping. To accommodate the growing size and complexity of such systems, industry innovators are now expediting the process of quoting, designing, manufacturing, and installing the systems. They are utilizing 3D modeling and data extraction from the modeling, as well as Design for Manufacturability (DFM) techniques that simplify construction and installation while still allowing for necessary customization. As a case in point, Steel King Industries, a manufacturer of material handling products and systems for improving operational efficiency in manufacturing, assembly, distribution centers, storage facilities, and warehousing, has created a new independently operated business unit, called NexCaliber Structures, focused solely on supplying turnkey solutions for engineered elevated work platforms. The enhanced flexibility and capability of such work platforms will enable more seamless integration and scale up to increase production capacity. The approach will accommodate increasingly important new technology such as automated picking systems, robotic Automated Storage and Retrieval System (ASRS), and massive e-commerce fulfillment centers. Warehouse Platform Structures: from Bottleneck to Expedited Project Traditionally, warehouse inventory management was labor-intensive. Today, the product picking process is much faster and increasingly utilizes automation, whether through robots or conveyors. However, on larger projects, platform structures are crucial. The platform structures are the first product to the job site and serve as the foundational, multi-level structures upon which all other products – from racking and robots to conveyors – are built and integrated. So, if platform structures are not designed, constructed, and installed correctly, lengthy project delays and complications are virtually inevitable. “Because warehouse equipment OEMs and contractors integrate other products on, in, around, and on top of elevated structures, nothing else can happen until the platforms are in place and operational,” says Brian Pfannes, VP of Supply Chain at Steel King. While platform products are not new, next-level custom yet scalable, turnkey solutions that utilize 3D modeling, data extraction, and DFM can now minimize complications, compress project timelines, and improve reliability. According to Pfannes, in the market, the time between purchase order, installation, and required start-up is always decreasing so warehouse equipment OEMs and integrators and are always looking for a quicker, more efficient process. He notes that advances in parametric estimating – the ability to project cost and duration based on predefined algorithms such as materials and square footage – can help to expedite the process from the start. “With parametric estimating technology (PET), we create a 3D model of the platform with a CAD program. Then from the model, we extract data, such as material, weight, and paint coverage. This is passed into a database and paired with costs, and the result becomes the estimate,” he says. Pfannes says that this approach can provide more accurate quotes on large, complex platforms in as little as one hour when traditionally it might take a day. It also enables OEMs and integrators to seamlessly interface their product with the structures. “This helps to expedite the entire process from design engineering and drafting to production, installation, and start-up,” he explains. Chris Pahls, Steel King Product Manager overseeing the NexCaliber Structures business unit in Cincinnati, OH notes that the industry has traditionally used 2D drawings, passed back and forth during the approval process. However, he explains that today multiple layouts can be overlaid to quickly identify any problem areas. This usually starts with an existing drawing of the building, followed by a 3D model of the platform inside the building, and then the OEM’s warehouse equipment (i.e.- conveyor or rack intertwined with the platform and building). “Being able to overlay models in layers helps compare them more efficiently, so options can be chosen faster and more judiciously upfront with fewer complications,” says Pahls. He points out, “As warehouse and fulfillment projects have become larger as well as more complex and automated, so have the structures that support the equipment. That means more coordination and detail are needed more often.” While these structures are installed inside both new and existing buildings, within existing buildings, anything already in place such as building columns and electrical panels could interfere with the design. The new approach minimizes such problems. “3D modeling enables OEMs and integrators to overlay their models onto the platform structures. So, for example, they can quickly see if they have enough clearance for a conveyor that may dip below the structure in certain areas, etc.,” says Pahls. He adds, “In the past, CNC punching for the beamlines would have been figured out in a separate program or calculated by hand. Now, engineers can extract data from the 3D model in a more accurate, immediately usable form.” According to Pahls, the use of Design for Manufacturability (DFM) to devise parts or products that ease manufacturing and improve quality at a lower cost is achieved by simplifying, optimizing, and refining product design. The process incorporates input from design engineers, production staff, and field installers. To understand the benefits of DFM, Pahls points to the example of two structural members of an elevated platform that need to be bolted together. “In the past, seven different types of clips were typically needed based on the circumstances of the connection. Today, [via the DFM process] a single clip can do the work of seven clips, which speeds manufacturing and installation,” he says. As another example, he explains that an improved design eases the installation and reliability of the platform guardrail by enabling technicians to get it perfectly positioned and plumb right out of the shipping crate. When it comes to customization, 3D modeling and the DFM process offer warehouse equipment OEMs and integrators needed flexibility. “No platform structure is ever the same in terms of levels, deck heights, capacities, configurations, and seismic considerations. Every project has to be customized to some degree, particularly if it is
EP 160: ABCO Systems
In this episode, I was joined by the Owner and CEO of ABCO Systems, Seth Weisberg. ABCO Systems is a solution provider for the material handling industry providing many different solutions with the main focus on racking. Seth and I discuss the evolution of ABCO, racking basics, racking selection, and how warehouse layouts have changed with newer automation. Key Takeaways ABCO has a very similar story to DCL Logistics who was featured on a recent episode as well. They both have evolved over time to meet their customer’s changing demands and they also have family ties. For ABCO, Seth’s father started the company in which Seth did not have much interest and spent some time in the financial sector. When a family situation called him back to help the company he fell in love with the work. Now, Seth has been able to evolve the company into a continuously growing material handling solution provider. In my day job, I have utilized them as well and can say that they do great work. Surprisingly we have never really discussed racking on the podcast. Racking is really ABCO’s main focus so I had to get some basic insights from Seth. We discuss racking selection and also one of the biggest questions, how much racking. Seth advises that when it comes to racking you need to look at the data and determine how many pallets you need to store to help determine what amount of racking is needed. ABCO actually provides a calculator on their website to determine how much racking is needed for your project. Additionally, as Seth mentions in the episode, they have a very strong engineering team that can help you determine your layout and needs. One very interesting point and tip that Seth shares are to think of your racking needs prior to committing to real estate. He discusses fire suppression systems and how they can hang up your project in a very costly way. I have personally seen where fire suppression systems can derail racking as many people do not think of them or are aware of the full need for fire suppression systems. Seth goes over the different setups and how to determine if your racking project will be feasible and by the proper safety standards. Since ABCO also acts in the aspect of a project manager and GC on their projects they can help you navigate the different towns and their requirements. Listen to the episode below and leave a comment with your thoughts on the future of racking. The New Warehouse Podcast EP 160: ABCO Systems
Rack supported Roly® Safety Gate model now available in a multiple pallet deep configuration
New configuration keeps employees safe in Cluster Picking Applications Mezzanine Safeti-Gates, Inc., an innovator in the design and manufacturing of pallet drop safety gates that provide fall protection in material handling and manufacturing facilities, distribution centers, and warehouses, has announced that it now offers a Rack Supported Roly® safety gate configured for multiple pallets deep. This new standard design is released on the heels of the Rack Supported Open Top safety gates which are configured to provide fall protection in pallet flow cluster picking applications. With the rapid growth of e-commerce in the last year, cluster picking operations are becoming more popular applications in material handling and warehousing facilities. Typically one or two flow lanes are located in a bay with an aisle between the lanes; employees on the platform then enter the lanes to pick from various pallets, putting items on a takeaway conveyor to be packaged and shipped. Often cluster picking operations are located in multi-level rack supported pick modules in which multiple deep pallets are pushed into the pallet flow systems. Rack-supported safety gates work well within-cluster picking applications in busy distribution centers or material handling facilities because of the limited space within the rack system. The Rack Supported Roly multiple pallet deep design is a dual-gate system that attaches directly to the rack uprights in rack systems or pick modules. Attaching to rack uprights maximizes space in the area and creates a secure connection without having to anchor the gate into the decking. The gate can be designed to match the depth of the pallet flow lane to capture multiple pallets. The extra-deep dual-gate system prevents pallets from holding the gates open when the lane is full and creates a completely enclosed workstation while providing fall protection for the workers in picking positions and around the empty pallet or tote return bays. “With so many material handling facilities working to increase their throughput, pick modules with cluster applications are becoming more popular,” said Aaron Conway, president of Mezzanine Safeti-Gates, Inc. “Many of these applications are using flow lanes to push multiple pallets through the system, and there is a need for a larger area of protection for employees working within the system. Our Roly gate design can be expanded to ensure it can protect workers that are picking from the multiple pallets.” The Rack Supported Roly pallet flow safety gate uses dual, counterbalanced gates to secure the ledge and keep employees out of the flow lanes while the lane is being replenished with pallets. When the ledge-side gate is open, allowing the material to be delivered to the pallet drop area, the rear-side gate is closed, protecting the worker from falling off the ledge. When the rear-side gate is raised to gain access to the pallets, the ledge-side gate closes and compacts into the rack bay, maintaining a safe environment during all stages of the operation. If the rack does not extend above the decking on the top level of the pick module or if it’s located on a work platform, the gate can be designed in a free-standing model. In addition to the Rack Supported Roly in a multiple pallet deep configuration, most of the safety gates from the company are offered in rack supported or free-standing configurations. The dual-gate design ensures OSHA, IBC, and ANSI fall protection compliance. The safety gates fit any manufacturer’s rack configuration and are available in powder-coated mild steel. Mezzanine Safeti-Gates, Inc. will be exhibiting at the ProMat DX Show online April 12-16, 2021. To learn more about the full line of safety gates from Mezzanine Safeti-Gates, visit the ProMat DX booth to book a meeting or view the product demo.
Open top Safety Gate is now available from Mezzanine Safeti-Gates
Mezzanine Safeti-Gates, Inc., an innovator in the design and manufacturing of pallet drop safety gates that provide fall protection in material handling and manufacturing facilities, distribution centers, and warehouses, has announced that its Open Top safety gate can be manufactured in a rack supported design, ideal for providing fall protection in pallet flow cluster picking applications. With the new Open Top safety gate configuration, four of the company’s safety gates for fall protection can be manufactured in free-standing or rack supported designs. Multiple deep pallets are pushed into pallet flow systems in multi-level rack supported pick modules in busy material handling facilities. In cluster picking operations, there are typically one or two flow lanes in a bay with an aisle between the lanes; pickers on the platform then enter the lanes to pick from various pallets, putting items on a takeaway conveyor to be packaged and shipped. Freestanding safety structures may not work for cluster picking applications in busy distribution centers or material handling facilities because there is normally little space within the rack system. The Rack Supported Open Top model is a dual-gate system that attaches directly to the rack uprights in rack systems or pick modules. Attaching to rack uprights maximizes space in the area and creates a secure connection without having to anchor the gate into the decking. The dual-gate system prevents pallets from holding the gates open when the lane is full and creates a completely enclosed workstation while providing fall protection for the workers in picking positions and around the empty pallet or tote return bays. “More material handling facilities utilize cluster picking applications within their pallet flow applications to maximize space and efficiencies,” said Aaron Conway, president of Mezzanine Safeti-Gates, Inc. “In cluster applications, employees pick from loads on both sides of the aisle, and our new Rack Supported Open Top configuration not only allows picking on both sides, but it also provides fall protection within the multi-level pick modules with a dual-gate system.” The Rack Supported Open Top safety gate uses dual, counterbalanced gates connected on the side to maintain a safe pallet drop area at all times while operating with no overhead mechanics. When the ledge-side gate is open, allowing the material to be delivered to the pallet drop area, the rear-side gate is closed, protecting the worker from falling off the ledge. When the rear-side gate is raised to gain access to the pallets, the ledge-side gate closes and compacts into the rack bay, maintaining a safe environment during all stages of the operation and keeping the area clear for traffic to pass along the aisle while providing room for employees picking from pallets on either side of the lane. Open Top safety gates are ideal in areas that feature extra tall pallet loads in cluster picking applications. The design, which can be configured for 90-degree access to pallets on both sides, can be customized to fit specific rack configurations and existing or new structures. The dual-gate design ensures OSHA, IBC, and ANSI fall protection compliance. The safety gates fit any manufacturer’s rack configuration and are available in powder-coated mild steel. Roly®, Pivot, Tri-Side, and now Open Top safety gates are offered in rack supported or free-standing configurations.