Kennametal order growth slows in September

NEW YORK, Oct 14 (BestGrowthStock) – Industrial tool maker
Kennametal Inc (KMT.N: ) reported another sequential decline in
three-month order trends, but said it continued to see strong
growth across its markets.

Total orders for the three months ended September were up
30 percent, down from the 33 percent pace in August and 37
percent in July. Organic orders, which exclude currency and
acquisitions, were up 33 percent, which was below the pace in
the three prior months.

Order rates for Kennametal’s industrial segment reflected
ongoing strength in general engineering and transportation. Its
infrastructure segment reported expansion in its energy
business and increased activity continuing in its earthworks
business, Kennametal said.

Last month, Kennametal executives said they had completed a
painful restructuring and were now focused on growing the
company, especially in emerging markets like China. They noted
the global economy remained “steady but slow.” [ID:nN2893015]

Kennametal’s comments are consistent with recent evidence
of moderating growth in the industrial economy, as comparisons
with year-ago numbers become harder.

The U.S. manufacturing sector has held up well during an
uneven economic recovery and should continue to expand, but
likely at a slower pace, according to a quarterly survey by
Manufacturers Alliance/MAPI. The research group’s September
2010 index fell to 77 percent from a record high 81 percent in
June, but remains well above year-ago figures.
(Reporting by Nick Zieminski, editing by Dave Zimmerman)

Kennametal order growth slows in September