Komatsu's Quarter Soured By Asia Slump
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Komatsu announced today that operating income declined by 22.2% in Q1 compared to the same quarter a year ago.
Net sales in the company's construction, mining and utility equipment sector were down 5.5%.
Like equipment supplier Caterpillar who announced its quarter last week, Komatsu also saw sales slide in Asia due to "...growing uncertainty of the prospects of the domestic economy against the backdrop of prolonged United States-China trade war."
Indonesia, which Komatsu says is one of the largest markets in the region, declined due to a slump in thermal coal sales.
Bright spots were Australia, North America and Europe which Komatsu called "strong."
Looking forward Komatsu highlighted its electrification of construction, mining and utility equipment as a key strategy for the company. At bauma 2019 Komatsu unveiled an electric mini excavator, "...designed to set the course for next generation construction equipment."