14.07.2010

JCB increases profits

Telehandler and excavator manufacturer JCB, says that it managed to lift profits in 2009 by four percent, in spite of a more than 33 percent fall in sales. Total revenues were £1.35 billion with pre tax profits of £29 million.

JCB also says that it built 36,000 ‘machines’ during the year and based on this calculates its market share at 12.2 percent. The company claims a 28 percent share of the worldwide telehandler market and a 40 percent share of the backhoe-loader market.

JCB chairman Sir Anthony Bamford said: “2009 was hugely challenging for the construction equipment industry. The entire JCB organisation pulled together magnificently to respond decisively to the unprecedented downturn, which was particularly severe in the first half of the year. Tough action was taken to adjust our cost base to align it to a much reduced level of demand, and this resulted in an improving profit trend as the year progressed. We have created a strong platform for renewed profitable growth."

“The construction equipment industry has seen a strong recovery in emerging markets such as India, Brazil and China, although the traditional markets of Western Europe and North America remain weak. On balance, we expect to see a significant improvement in both sales and profits this year compared to 2009”.