Liugong, construction equipment--Liugong posts record profits

Chinese construction equipment manufacturer Liugong has posted a net profit of $137.8m for the first half of 2010, up 148% on this time last year.

Liugong’s domestic sales soared by 60% compared to the same period in 2009, with a 39% increase in overseas exports.

Overall, products sales have increased 63.5% year on year, and the company has reported share earnings of US$0.21 per share.

The Guangxi based company has experienced double or triple digit growth along several of its product lines, with sales of forklifts, excavators and cranes showing the greatest rises of 125%, 105% and 75% respectively.

Since 2009, the firm says it has become the world’s largest manufacturer of wheel loaders, and further increased sales for the product line by 43% for the first half of 2010.

Liugong president and vice chairman Zeng Guang’an attributes this success to the company’s focus on improving quality across each product line.

“We meet and surpass quality benchmarks set by the market,” said Zeng.

“Our many years of pursuing Six Sigma quality processes are reaping dividends for Liugong as the quality of our machines continues to impress customers.”

Ranked as the 21st largest manufacturer of heavy equipment, Zeng intends to follow an aggressive five-year strategy aimed at making Liugong one of the world’s ten largest manufacturers by 2015.

The firm currently supplies heavy equipment in every continent through a network of 106 dealers and 881 outlets.

Source: Cranes Today Magazine