MINING equipment manufacturer Bradken says the mining boom means its financial situation has improved, allowing it to spend more on upgrading facilities and adding on new machining capabilities.
According to the company, strong demand for rail freight wagons and orders related to mine expansions means it earned $58m in the 12 months preceding 30 June 2008.
A falling Australian dollar has also boosted its profits, especially in light of continued growth in China.
Bradken will increase its capital spending in 2008. It will upgrade its Welshpool foundry, build additional capacity in the industrial business, add machining capacity across the group, and increase automation and de-bottleneck its facilities.
These maintenance measures will allow the company to reduce its operating costs and exploit the current boom in demand.
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