Industrial Equipment Maker SPX 1Q Profit Falls

CHARLOTTE, N.C. (AP) — SPX Corp. said Wednesday declining revenue and shrinking profit margins cuts its first-quarter net income 62 percent as the industrial equipment maker's "customers deal with the economic recession and its impact on their businesses."

Profit fell to $24.4 million, or 48 cents per share, from $61.4 million, or $1.13 per share, in the year-earlier period.

SPX, which divested a product line in its flow technology segment during the quarter, said profit from continuing operations declined to 76 cents per share from $1.15 per share.

Analysts polled by Thomson Reuters expected, on average, earnings per share of 75 cents.

The company took a charge of $11.9 million, or 15 cents per share, for restructuring.

Earlier this month SPX said it plans to record $75 million, or $1 per share, in restructuring charges this year, up from a previous target of $65 million.

"Global economic conditions continued to deteriorate in the first quarter of 2009, resulting in these lowered expectations for the year," said Chief Executive Chris Kearney.