CLEVELAND (AP) â¿¿ Industrial parts distributor Applied Industrial Technologies Inc. said Thursday its fiscal third-quarter profit rose a better-than-expected 43 percent, and raised its expectations for the year.
The company said that while year-ago comparisons were relatively easy to improve upon, it was encouraged to see "broad-scale activity" in the industries it serves. Applied Industrial sells its bearings, power transmission products, tools and other items to customers in industries including agriculture and food processing, automotive, mining and utilities, as well as to government agencies.
"As we talk with our customers and our suppliers, we are cautiously optimistic for moderate economic recovery through the remainder of our fiscal year," Chairman and CEO David L. Pugh said in a statement.
Shares of Applied Industrial Technologies rose 93 cents, or 3.5 percent, to $27.80 â¿¿ their highest point since the fall of 2008.The company said it earned $16.5 million, or 39 cents per share, in the three months ended March 31. That compares with $11.6 million, or 27 cents per share, a year earlier. Revenue rose 8 percent to $486.1 million from $451.6 million. The results easily topped the average estimates of analysts surveyed by Thomson Reuters, who had forecast profit of 30 cents per share and revenue of $462.1 million. Looking forward, Applied Industrial raised its fiscal 2010 profit outlook to $1.18 to $1.33 per share on $1.85 billion to $1.9 billion in revenue. Previously, it predicted earnings per share of 95 cents to $1.25 per share on revenue of $1.75 billion to $1.85 billion. On average, analysts are looking for net income of $1.15 per share and $1.82 billion in revenue.