"Although the company anticipates its financial performance in the second half of the year will improve over the first half, it does not expect the improvement to be sufficient to achieve its original guidance for the fiscal year," the company said.

"The company now expects net sales for the year to be approximately $150 million to $200 million below, and fully diluted earnings per share approximately $0.15 to $0.20 below, the December 2006 guidance."

In December, Joy president and CEO Mike Sutherlin announced a profit range of $510m to $570m.

Yesterday, even with the significant profit downgrade, Sutherlin remained positive.

"Despite the adverse factors expected to affect the company's second half, I see the overall outlook for our markets to be very positive," he said.

"There continues to be strong expansion programs in copper, iron ore, oil sands and international coal, and we are adding capacity to meet the needs of these markets."

"Although there is uncertainty in the US coal market, it is impossible to meet the nation's future energy needs without the strong participation of coal. That will drive the recovery of US coal, and will add to the strong performance from our other markets."