- Mining equipment manufacturer Austin Engineering (ANG) has seen a significant uptick in orders over the past few weeks
- The new orders cover more than 100 products, including truck bodies, water tanks and buckets, totalling more than $35 million in revenue
- Much of the new work is coming in from the Asia Pacific region, which has brought the company’s order book and committed work back in line with 2019 levels
- With new orders bolstering the backlog, Austin remains confident that it will reach its net profit after tax guidance of no less than $9 million
- Austin Engineering closed in the grey for 18 cents per share
Mining equipment manufacturer Austin Engineering (ANG) has seen a significant uptick in orders over the past few weeks.
The new orders include more than 100 products, including truck bodies, water tanks and buckets totalling more than $35 million in revenue.
Much of the new work is coming in from the Asia Pacific region, which is outperforming expectations, bringing the order book and committed work back in line with 2019 levels.
This increasing workload from Asia Pacific nations has helped offset a general downturn in the America’s, where orders this year have been way down on expected levels.
The company attributed much of the downturn to the effect of COVID-19 on American economies, as well as the uncertainties surrounding U.S. election, which have resulted in hesitant capital spending by potential clients.
With new orders bolstering the backlog, Austin remains confident that it will reach its previous net profit after tax guidance of no less than $9 million.
Austin Managing Director Peter Forsyth said the Asia-Pacific region is performing exceptionally well at the moment, which keeping the company’s two large facilities in Perth and Indonesia close to capacity.
“I am very happy with the level of orders and further opportunities in this region. Offsetting this strength, the Americas are currently facing challenging operating environments, and this is a product of the broader economies in those regions. I am heartened by the scale of opportunities in the US, Canada and Chile and we remain confident that the tide will begin to turn early in the New Year in these regions,” he added.
Austin Engineering closed in the grey for 18 cents per share.