29.07.2007

Bobcat down 9%

Ingersoll Rand has listed Bobcat as a discontinued operation for the purposes of its first half results.

This effectively limits the information that the company publishes, however we do know that Bobcat second-quarter revenues declined by approximately nine percent, on the same period of 2006.

The declining revenues reflect ongoing weakness in sales of equipment that serves the American house building market.

In spite of the fall in revenues operating margins improved to 15 percent and order intake increased by five percent, thanks to strong international markets and exchange rate gains.

As far as the sale of Bobcat, the company says that it is considering a number of alternatives, including the outright sale of the business or a spin-off to shareholders. It expects to conclude its decision making process in the third quarter.