China's Zoomlion Q3 net profit slides 33.6 pct
BEIJING Oct 30 (Reuters) - China's Zoomlion Heavy Industry Science and Technology Co Ltd reported a 33.6 percent year-on-year fall in its third-quarter net profit, weighed down by a sustained slowdown in the world's largest construction machinery market.
Zoomlion, one of China's biggest construction equipment makers, said net profit was 889 million yuan ($145.97 million)in the June-to-September period, down from 1.34 billion yuan a year earlier, according to a filing with the Shenzhen Stock Exchange on Wednesday.
Daiwa Capital Markets expected the company to book a 900 million yuan ($147.78 million) net profit for the period.
Zoomlion said net profit for the first nine months of the year was down by almost half to 3.8 billion yuan ($623.95 million) from nearly 7 billion yuan in the same year ago period.
Earlier this month, the company forecast a return to profit growth in 2014.
After years of rapid expansion, Zoomlion and its same-town rival Sany Heavy Industry Co have seen earnings decline amid a supply glut partly caused by the government's 4 trillion yuan stimulus spending following the 2008 global financial crisis.
Both companies, as well as smaller rivals, are now turning to emerging markets for growth.
Zoomlion's Hong Kong-listed shares, which are trading about 45 percent lower than their February highs, closed up 2.04 percent ahead of the release of its earnings, in line with a 2.0 percent climb of the Hang Seng Index. ($1 = 6.0902 Chinese yuan) (Reporting by Fang Yan and Matthew Miller; Editing by Miral Fahmy)