BT Industries' first quarter report shows demand for warehouse materials handling equipment is recovering.

"The increase was expected, since the combustion-powered counterbalanced truck segment grew relatively strongly in 2003," the report said. "This segment usually includes customers and industries that are early in the business cycle, signifying a more general upswing."

BT chief executive Per Zaunders said the USA was the strongest geographic region. "During the first quarter the increase was most clearly evident in the counterbalanced truck segment, but the positive development in demand is now obvious in the warehouse truck segment as well," he said.

During the first quarter, orders received rose 7% to SEK3,242 million (USD428 million). Net sales rose only marginally, from SEK2,923 million (USD385.8 million) to SEK2,960 million (USD390.7 million).

"The positive development during the first quarter of 2004 underscores that the market has now begun to recover and that BT has successfully been able to satisfy the higher demand," Mr Zaunders said.