Quarterly bookings rose 62% from the 2003 comparable quarter to US$504 million, whilst net sales totaled $338 million and operating income was $22.3 million for the quarter.
“We have now experienced two quarters of sequential growth in original equipment orders, in addition to four quarters of increased aftermarket activity,” said Joy Global CEO John Hanson.
“These strong incoming order rates will be reflected in higher revenues, particularly original equipment shipments, in future quarters.”
Aftermarket growth was attributable to a combination of higher commodity production and equipment repairs and upgrades by customers as they put equipment back to work.
In the underground business, most of the original equipment orders related to replacement equipment.
“We do not anticipate significant demand for underground machinery products related to major mine expansions or new mine opening outside of China. The acceleration of demand for underground equipment in China will at some point result in additional increases to our revenue guidance,” Joy said.
Joy Mining Machinery is engaged in a number of discussions with existing and new mining entities in China and anticipates receiving orders from some of these entities by the end of the fiscal year.
“We continue to believe we will experience solid long-term double-digit growth in China, both for our underground mining machinery and our aftermarket parts and service activities.”
Operating income for the next 12 months was forecast at $105 to $130 million.
