Sweden’s Epiroc expects demand for mining equipment and aftermarket parts and services to remain “at a high level” after reporting 17% year-on-year rises in quarter-three revenues (US$1.345 billion) and orders (US$1.29 billion, “supported by strong organic growth and acquisitions”.
Q3 operating profit rose 12% yoy to $292m, with the operating margin at 21.7% (22.7% last year).
CEO Helena Hedblom said demand and activity levels in mining remained high, with several large mining equipment orders won, topped by a $63m sale to Kamoa Copper.
She said Epiroc saw “particularly strong demand for automation and connectivity solutions”, though the company provided no breakdown of orders.
“Construction customers, on the other hand, were more tentative,” Hedblom said.
“It is especially exciting to contribute to the success of the Kamoa-Kakula copper mining complex [in the Democratic Republic of Congo] as it is projected to be among the world’s lowest greenhouse gas-emitting copper mines per unit of metal produced.
“The ordered machines have several advanced features, such as Epiroc’s telematics system, which allows for intelligent monitoring of machine performance and productivity in real-time.
“With more advanced technology – namely automation, digitalisation, and electrification – it is more likely that Epiroc will also perform the service on the equipment.
“This drives both revenues and profit.”