China is only bright spot for Komatsu
By Chris Sleight30 October 2009
Komatsu's construction equipment sales for the first half of the fiscal year came to JPY 570 billion (US$ 6.23 billion), a -45,8% decline on the April - September period last year. Group sales came to JPY 646 billion (US$ 7.07 billion), and the company made a net profit of JPY 8.2 billion (US$ 90 million).
In the construction equipment sector, which made up 88% of Komatsu's revenues, the company saw the steepest decline in sales in the middle east & Africa. Revenues from this region were down -70% to JPY 39,1 billion (US$ 427 million) for the first half of the year. Not far behind was Europe and the CIS, where revenues fell 69,5% to JPY 58,8 billion (US$ 644 million).
Revenues from the Americas came in at JPY 143 billion (US$ 1.57 billion), down -46,9%, while the company saw a decline in the Asia & Oceania region of -39,6%, with sales of JPY 117 billion (US$ 1.28 billion). In its home market of Japan, Komatsu's construction equipment sales were down -34% to JPY 107 billion (US$ 1.17 billion).The only region where sales grew over the six-month period was China. Here Komatsu saw a +2.9% rise in revenues to JPY 105 billion (US$ 1.14 billion). Indeed, the company said June saw a new record for monthly demand in construction equipment, thanks to the Government's stimulus plan and reconstruction in Sichuan Province following last May's earthquake.