* Diluted headline EPS at 675 cents vs 461 cents
* Consensus: 674 cents -Reuters data
* Expect lower demand for mining equipment
* Shares jump more than 3 percent
(Adds quotes, background, shares)
By Tiisetso Motsoeneng
JOHANNESBURG, Nov 19 South Africa's Barloworld
warned of weakening demand for mining equipment on
Monday as wildcat strikes at home and stalling growth in China
force miners to scale back capital expenditure.
But the company said its car dealerships, logistics and
forklift businesses would take up the slack, helping it deliver
even higher growth in 2013 after a forecast-beating 46 percent
profit rise this year.
Barloworld, the biggest dealer of Caterpillar earth-moving
equipment in southern Africa, is a barometer for the health of
the region's vast mining industry.
It said its order book for heavy-duty mining equipment in
southern Africa plunged 25 percent to 3.9 billion rand ($438.51
million) at the end of September.
Production at many South African mines - particularly in
platinum and gold - has yet to recover after a wave of wildcat
strikes this year that marked South Africa's deadliest labour
unrest since the end of apartheid in 1994.
The industry is also grappling with weaker demand for
commodities due to slowing growth in China.
"We have seen mining companies across the world pulling back
on capital expenditure because the costs are too high, projects
are becoming complex and take longer to complete," Barend
Ritter, a portfolio manager at Sanlam Investment Management.
But Barloworld also expects demand for heavy-duty equipment
to hold up in other southern African countries such as
Mozambique, where enough gas to supply Germany, Britain, France
and Italy for 13 years was discovered recently.
Barloworld said headline earnings per share totalled 675
cents in the year to end-September, just above a 674 estimate in
a Reuters poll of 10 analysts.
Headline EPS, the main measure of profit in South Africa,
strips out certain one-off items.
"We are confident that the business has the momentum to
exceed this performance in the year ahead," Clive Thompson,
Barloworld's chief executive told Reuters.
Much of that growth would come from its auto sales and
forklift businesses, he said.
South Africa's total new auto sales rose 10.5 percent
year-on-year in October, boosted by record-low interest rates.
Shares in Barloworld jumped 3.4 percent to 75.56 rand, its
highest in nearly two months and outperforming a 0.6 percent
gain the JSE All-share index.
($1=8.8937 South African rand)
(Editing by David Dolan and Mike Nesbit)