31.07.2014

Strong first quarter for Kobelco Cranes

Japanese crawler crane manufacturer Kobelco has reported a 46.6 percent rise in first quarter revenues to ¥16.9 billion ($164.5 million) pre-tax profits at the company, which is a division of Kobe Steel, almost doubled to ¥1.7 billion (16.5 million). The strong start is due to stronger sales in Japan and higher shipments in Asia.

As a result of the strong start to the year the company has raised its first half forecast but slightly lowered its full year estimates to ¥76 billion ($740 million) an increase on 2013 of around 35 percent.

Vertikal Comment

After a sluggish year or two Kobelco returned to profitability last year and is now making strong progress again. While the company builds exceptional products it has long way to go when it comes to global distribution. With a more competitive currency situation and new plant in India coming on stream we would expect the company to post strong growth over the next few years.