Electrical component maker Cooper Industries plc said on Wednesday that its first-quarter net income fell by half because of a big year-ago gain, but its adjusted results beat analyst expectations and it raised its 2012 earnings guidance.
The Dublin-based company said it earned $160.7 million, or $1 per share, for the quarter that ended March 31. That was down from $346.1 million, or $2.07 per share, during the same period last year. Revenue rose almost 10 percent to $1.4 billion, from $1.28 billion a year ago. The year-ago period included a gain of $190.3 million for discontinued operations.
Not counting a reserve of $11.7 million to cover an environmental issue the company said dates to the 1950s, it would have earned $1.06 per share. Analysts surveyed by FactSet had been expecting adjusted profit of $1 per share on revenue of $1.36 billion.
Operating profit in its energy and safety solutions segment rose 8.5 percent to $126.2 million. Revenue rose 10.4 percent to $751.7 million.
Cooper's operating profit in electrical products rose 4.3 percent to $92.4 million, with revenue up 9.2 percent to $651.9 million.
Cooper said it's raising its full-year profit guidance because of "strong underlying demand in the industrial and utility markets" and a book-to-bill ratio of 108 percent, meaning more orders are coming in than it is shipping. It said it now expects to earn $4.25 to $4.40 per share this year, up from $4.15 to $4.35. Analysts had been expecting a profit of $4.33 per share.
Cooper shares rose $1.52, or 2.4 percent, to close at $64.01.