Finnish cargo-handling equipment maker Cargotec beat all forecasts with a jump in second-quarter operating profit and order intake, boosted by Asian demand.

Cargotec said demand for handling equipment such as loader cranes and forklift trucks continued recovering in the quarter, although demand for container handling equipment in ports had showed only tentative signs of recovery.

The news follows Danish shipping and oil group A. P. Moller-Maersk's forecast that global container shipping rates would likely return to pre-crisis levels by the peak season at the end of this year.

"The results were good, surprisingly good. New orders and profitability in the Marine segment was the biggest surprise," said FIM analyst Sanna Kaje.

Cargotec, in a statement, said April-June operating profit, excluding restructuring costs, leapt to 38.8 million euros ($50.1 million) from 3 million a year earlier, beating a forecasted range of 20 million to 30 million in a Reuters poll.

Order intake rose 55 percent to 732 million euros, also beating all estimates, while sales dropped some six percent to 638 million euros, at the high end of forecasts in the poll.

Earnings were driven by the performance of the firm's Marine unit, where operating profit rose 88 percent to 43.7 million euros, above all expectations in the poll that ranged from 24 million to 34 million euros.

Sure on 2010 Guidence
Pohjola Bank analyst Pekka Spolander noted Cargotec's results were still relying on Marine's good profitability, something that could be tough to sustain.

"In the long run Industrial & Terminals should make higher profits," he added.

The company said Industrial & Terminals unit's profitability was burdened by low volumes.

Cargotec repeated its outlook for the year, calling for sales to remain on the same level as in 2009 and operating profit to exceed 100 million euros. Its January-June operating profit totalled 50.7 million. (Reuters)