Wartsila's Q3 profit rises to 138m euros

[HELSINKI] Finnish ship and power plant engine maker Wartsila posted a stronger-than-expected rise in quarterly profit on higher spending by shipping clients and solid demand from power plants.

Though Wartsila said its order book has taken a hit from some customers delaying investment decisions, its escape from the sharp deterioration experienced by other Finnish industrials amid Europe's prolonged economic downturn lifted its shares 4 per cent by 0815 GMT.

Third-quarter operating profit, excluding one-off items, rose to 138 million euros (S$236 million) from 113 million euros a year earlier, beating the average forecast of 132 million euros in a Reuters poll of analysts. A 14 per cent drop in orders, however, prompted the company to trim its 2013 sales growth forecast to between zero per cent and 5 per cent from the previous estimate of up to 10 per cent.