Mining equipment manufacturer Bucyrus International Inc. said first-quarter earnings increased on higher sales of original equipment and higher prices that offset rising commodity costs.
Bucyrus also said Friday that it completed the purchase of DBT GmbH, a German manufacturer of underground equipment, for $710 million in cash and $21 million in Bucyrus stock. DBT has eight facilities around the world with approximately 3,200 employees and generates about $1 billion in annual revenue.
Bucyrus International reported net income for the first quarter of $17.9 million, or 57 cents per share, an increase of 23 percent compared with $14.5 million, or 47 cents per share, for the same period the year before. Net sales for the South Milwaukee-based company rose 14.9 percent to $190.4 million from $165.7 million.
Bucyrus (NASDAQ: BUCY) said sales of original equipment jumped 46.6 percent to $78.4 million in the quarter. The increase, Bucyrus said, was driven by the ongoing global demand for mining equipment, reflecting the strength of the coal, copper, oil sands and iron ore markets, as well as industrialization in developing countries.
Profits were aided by higher selling prices, which more than offset the rising price of steel and other raw materials.
Source : www.bizjournals.com
No comments:
Post a Comment