Japanese construction equipment manufacturer Komatsu Ltd. reported higher earnings in its fiscal first quarter of 2018 as sales increased in its construction equipment and industrial machinery businesses.
Net income attributable to the company was ¥62.97 billion, or ¥66.67 per share, in the three months ended June 30, up from ¥36.40 billion, or ¥38.54 per share, in the same period of last year.
Operating income rose to ¥96.05 billion, up 85.8% from ¥51.70 billion in the year-ago quarter due to higher sales in most regions and lower temporary expenses.
Net sales rose 15.1% year over year to ¥646.06 billion from ¥561.21 billion as sales increased in all regions except Japan and the Middle East.
Sales of construction, mining and utility equipment segment were up 15.4% and the segment's profit jumped by 86.9% from the year-ago quarter. Komatsu said demand for construction equipment remained strong in North America, Europe, China and Asia and Oceania. Demand decreased in the Middle East and Africa and Japan.
Industrial machinery reported a 6.7% increase in sales and a 27.4% rise in profit.
For its fiscal year ending March 31, 2019, Komatsu expects net attributable income of ¥226.00 billion, or ¥239.58 per share. Operating income is projected to increase by 24.8% from the previous year to ¥339.00 billion and net sales to remain almost flat at ¥2.503 trillion.
As of July 27, US$1 was equivalent to ¥111.02.