Canton, Ohio-based specialty steelmaker the Timken Company reported Thursday that net income improved dramatically in Q2 2011 to $121.5 million compared to $85.6 million in Q2 2010, as sales of $1.3 billion were 31 percent higher than sales in Q2 2010. Sales for Timken's steel segment saw a more substantial year-on-year climb, rising 49 percent to 505.1 million in Q2, driven by strength in the oil and gas and industrial sectors, as well as surcharges. Raw material surcharges increased approximately $50 million year-over-year in Q2.
After a strong Q2, Timken now expects a full-year sales increase of 25 to 30 percent collectively across all segments. For its steel segment in particular, Timken anticipates that steel sales will rise 40 t0 45 percent, driven by end-use demand, capacity increases and surcharges.