Dover's 1Q Profit Down As End-markets Shrink

However, Dover, which also makes products for the oil and gas industry, reported more than 10 percent operating margins with free cash flow of $83 million, or 6 percent of revenue, consistent with last year.

Robert A. Livingston, president and CEO, said Dover increased restructuring during the quarter as the decline in order rates "was more severe than originally anticipated."

The company said although order trends improved sequentially during the quarter, it doesn't expect a meaningful recovery in its end-markets for the balance of 2009.

Dover said it expects 2009 earnings to be between $2 and $2.30 per share. That estimate includes more pre-tax restructuring charges of about $35 million, most of which will be taken in the second quarter.

Analysts surveyed by Thomson Reuters expect earnings this year to be $2.51 per share.

Dover's shares have lost about 41.7 percent of their value since reaching a 52-week high of $54.57 on May 14. Its shares rose 51 cents, to $32.30 in midday trading Wednesday.