Doosan Infracore More Than Doubles 2Q07 Earnings

Seoul, Korea-based Doosan Infracore Co., South Korea's largest construction equipment maker, last week announced that its second-quarter earnings more than doubled on rising demand for excavators and other construction equipment in overseas countries such as China.

Its net profit reached 93.7 billion won (U.S. $101 million) in the April-June period, compared with 41.2 billion won a year earlier (U.S. $43.6 million), the company said in a regulatory filing with the Korea Exchange.

Sales increased 19 percent to 981.5 billion won (U.S. $1.0 billion). Shares of Doosan Infracore dropped 5.9 percent to close at 31,800 won on the local bourse.

Doosan Infracore last month agreed to acquire the Bobcat, Utility Equipment and Attachments business units from Ingersoll Rand Co. for about U.S. $4.9 billion. The sale is subject to customary closing conditions and is targeted to close early in the fourth quarter.

The combined businesses, which manufacture compact equipment, including skid-steer loaders, compact track loaders, mini-excavators, telescopic handlers, portable air compressors, generators, light towers and attachments, generated U.S. $2.6 billion in 2006 revenues and U.S. $370 million in operating profits.

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