Dresser-Rand 1Q profit rises on higher new unit, parts sales

HOUSTON—Dresser-Rand Group Inc., which makes compressors, turbines and other machinery, said Tuesday its first-quarter profit rose 77 percent on increased sales of both new equipment and replacement parts and services.

Net income for the three months ended March 31 rose to $27.2 million, or 32 cents per share, compared with $15.4 million, or 18 cents per share, during the corresponding period a year ago. The most recent figure included a curtailment amendment that lowered operating income by $7.2 million.

Analysts surveyed by Thomson Financial, on average, predicted earnings of 23 cents per share. Those forecasts typically exclude unusual items.

Revenue rose to $363.8 million, from $314.4 million in the prior year. Analysts predicted revenue of $402.2 million, according to Thomson.

"We continue to benefit from strong industry fundamentals, a leading market position, and improving prices for our equipment, parts, and services," President and Chief Executive Vincent R. Volpe Jr. said in a statement.

The company maintained its 2008 operating income guidance of $285 to $315 million, with the second quarter expected to contribute 20 percent to 22 percent of the full-year total.