Reply #: Hitachi Construction profit up 51 pct, sees growth [View All]

[Ghost Dog]

http://yahoo.reuters.com/news/articlehybrid.aspx?storyID=urn:newsml:reuters.com:20070425:MTFH64494_2007-04-25_12-23-38_T80179&type=comktNews&rpc=44

TOKYO, April 25 (Reuters) - Japan's Hitachi Construction Machinery Co. (6305.T: Quote, NEWS , Research), a rival of Caterpillar Inc. (CAT.N: Quote, Profile , Research), said on Wednesday its profit jumped 51 percent in the past business year and forecast growth of 18 percent as strong demand for excavators in Europe and Asia offsets a slowdown in the U.S.

The company, a unit of Hitachi Ltd. (6501.T: Quote, NEWS , Research) and one of the Japanese electronics conglomerate's few money-making operations, has been cashing in on voracious demand for excavators and other construction equipment in fast-growing China.

Hitachi Construction's upbeat results echoed an earnings report last week from industry leader Caterpillar Inc. (CAT.N: Quote, Profile , Research), which also expects strong demand outside North America to offset any pain from the faltering U.S. housing market.

Komatsu Ltd. (6301.T: Quote, NEWS , Research), Japan's top maker of construction machinery ahead of Hitachi, is also expected to post double-digit profit gains for the past year and predict solid growth in 2007/08 when it unveils earnings on Thursday.

"I'm not hopeful about the U.S. market this year, but I'm not too concerned," Hitachi Construction president Michijiro Kikawa said on the sidelines of a news conference.

"Our business is booming in other countries and we can make up for it there."

/... (especially for TrogL)