Mining industry sentiment has improved over the past year with prices of many metals firming, despite the coronavirus pandemic still affecting many countries' economies.

Operating profit increased 17% from a year earlier to 2.59 billion crowns ($280.0 million) against an average analyst forecast of 2.62 billion crowns according to a Refinitiv poll.

Order intake at Epiroc was 11.6 billion crowns, up 19% organically from the year-earlier quarter but slightly below the 11.7 billion crowns expected by analysts.

"Revenues increased and both operating profit and margin reached new records, despite challenges with the Covid-19 pandemic and in the supply chain," Epiroc Chief Executive Helena Hedblom said in a statement.

"In the near term, we expect that demand, both for equipment and aftermarket, will remain at a high level," she said.

The company proposed a dividend for 2021 of 3.00 crowns per share, versus a mean forecast of 2.87 crowns.

Sandvik, Epiroc's top rival, reported earnings last week with its mining unit posting a 30% organic rise in quarterly order intake.

Epiroc shares fell back following the results traded down 2.6% by 1045 GMT.

($1 = 9.2493 Swedish crowns)

(Reporting by Anna Ringstrom and Johan Ahlander, Editing by Louise Heavens)