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8-K - FORM 8-K - DOVER Corp | y87252e8vk.htm |
EX-99.3 - EX-99.3 - DOVER Corp | y87252exv99w3.htm |
EX-99.2 - EX-99.2 - DOVER Corp | y87252exv99w2.htm |
Exhibit 99.1
CONTACT:
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READ IT ON THE WEB | |
Paul Goldberg
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www.dovercorporation.com | |
Treasurer & Director of Investor Relations |
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(212) 922-1640 |
DOVER CORPORATION REPORTS THIRD QUARTER 2010 RESULTS
| Grows revenue to $1.9 billion, an increase of 26% over the prior year | ||
| Delivers diluted earnings per share from continuing operations of $1.18, up 103% over last year | ||
| Achieves adjusted diluted earnings per share from continuing operations of $0.98, excluding tax benefits of $0.20, up 69% over last year | ||
| Raises guidance for full year diluted earnings per share from continuing operations to $3.50 $3.55 |
Downers Grove, Illinois, October 22, 2010 Dover Corporation (NYSE: DOV) announced today that for
the third quarter ended September 30, 2010, revenue was $1.9 billion, an increase of 26% over the
prior-year period. The revenue increase was driven by organic growth of 25%, a 3% increase from
acquisitions, and a 2% unfavorable impact from foreign exchange. Earnings from continuing
operations for the third quarter of 2010 were $222.8 million or $1.18 diluted earnings per share
(EPS), compared to $107.5 million or $0.58 diluted EPS from continuing operations in the prior
year period, representing increases of 107% and 103%, respectively. Excluding the impact of tax
benefits recognized in the quarter of $0.20, adjusted diluted EPS from continuing operations was
$0.98, an increase of 69% over the prior year. The tax benefits of $0.20 diluted EPS were related
to the favorable resolution of domestic and international tax positions and the recognition of a
lower full-year tax rate.
Revenue for the nine months ended September 30, 2010 was $5.3 billion, an increase of 23% over the
prior year period, reflecting organic growth of 19%, a 4% increase from acquisitions, and an
insignificant impact from foreign exchange. Earnings from continuing operations for the nine
months ended September 30, 2010 were $516.1 million or $2.73 diluted EPS, compared to $269.5
million or $1.45 diluted EPS in the prior-year period, representing increases of 92% and 88%,
respectively. Excluding the impact of tax benefits recognized in the third quarter of 2010 of $0.20
diluted EPS and the impact of tax benefits of $0.15 diluted EPS recognized in the second quarter of
2009, adjusted diluted EPS from continuing operations for the nine months ended September 30, 2010
was $2.53, an increase of 95% over the prior year period.
Commenting on the third quarter results, Dovers President and Chief Executive Officer, Robert A.
Livingston, said, I am pleased with our solid third quarter performance. Revenue growth of 26%
was ahead of our expectations entering the quarter and was broad-based, with Electronic
Technologies, Fluid Management, Refrigeration Equipment and Material Handling showing the highest
year-over-year growth. I was also encouraged by our 17.1% segment operating margin.
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Electronic
Technologies, Fluid Management and Industrial Products all posted significant year-over-year
improvements in margin. Third quarter free cash flow was $157.3 million, representing 8%
of revenue, and we expect to have strong free cash flow generation in the fourth quarter. Lastly,
from a bookings perspective, order rates increased 27% over last years third quarter, and despite
the normal seasonality inherent in our business, we exited the quarter with a solid book-to-bill of
0.96.
Looking forward, we now estimate full year revenue growth will be 20% 21%, comprised of organic
revenue growth of 16.5% 17.5%, and growth from acquisitions of 3.5%. Given our strong third
quarter performance, we now anticipate full-year earnings per share will be in the range of $3.50 -
$3.55, inclusive of the $0.20 third quarter tax benefit.
Net earnings for the third quarter of 2010 were $223.8 million or $1.19 diluted EPS, including a
gain from discontinued operations of $1.0 million or $0.01 EPS, compared to net earnings of $106.9
million or $0.57 diluted EPS for the same period of 2009, which included a loss from discontinued
operations of $0.6 million. Net earnings for the nine months ended September 30, 2010 were $501.8
million or $2.66 diluted EPS, including a loss from discontinued operations of $14.4 million or
$0.08 EPS, compared to net earnings of $257.4 million or $1.38 diluted EPS for the same period of
2009, which included a loss from discontinued operations of $12.1 million or $0.06 EPS.
Dover will host a webcast of its third quarter 2010 conference call at 9:00 A.M. Eastern Time on
Friday, October 22, 2010. The webcast can be accessed at the Dover Corporation website at
www.dovercorporation.com. The conference call will also be made available for replay on the
website and additional information on Dovers third quarter 2010 results and its operating
companies can also be found on the Companys website.
Dover Corporation is a global portfolio of manufacturing companies providing innovative components
and equipment, specialty systems and support services for a variety of applications in the
industrial products, engineered systems, fluid management and electronic technologies markets. For
more information, please visit www.dovercorporation.com.
This press release contains forward-looking statements within the meaning of the Securities
Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Such
statements relate to, among other things, income, earnings, cash flows, changes in operations,
operating improvements, industries in which Dover companies operate and the U.S. and global
economies. Statements in this press release that are not historical may be indicated by words or
phrases such as anticipates, expects, believes, indicates, suggests, will, plans,
supports, projects, should, would, could, hope, forecast and management is of the
opinion, use of future tense and similar words or phrases. Forward-looking statements are subject
to inherent risks and uncertainties that could cause actual results to differ materially from
current expectations, including, but not limited to, current economic conditions and uncertainties
in the credit and capital markets; the Companys ability to achieve expected savings from
integration, synergy, global sourcing and other cost-control initiatives; the ability to identify
and successfully consummate value-adding acquisition opportunities; increased competition and
pricing pressures in the markets served by Dovers operating companies; the ability of Dovers
companies to expand into new geographic markets and to anticipate and meet customer demands for new
products and product enhancements; increases in the cost of raw materials; changes in customer
demand; political events that could impact the worldwide economy; the impact of natural disasters
and their effect on global energy markets; a downgrade in Dovers credit ratings; international
economic conditions including interest rate and currency
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exchange rate fluctuations; the relative
mix of products and services which impacts margins and
operating efficiencies; short-term capacity constraints; domestic and foreign governmental and
public policy changes including environmental regulations and tax policies (including domestic and
international export subsidy programs, R&E credits and other similar programs); unforeseen
developments in contingencies such as litigation; protection and validity of patent and other
intellectual property rights; the cyclical nature of some of Dovers companies; domestic housing
industry weakness; and continued events in the Middle East and possible future terrorist threats
and their effect on the worldwide economy. Dover Corporation refers you to the documents that it
files from time to time with the Securities and Exchange Commission, such as its reports on Form
10-K, Form 10-Q and Form 8-K, for a discussion of these and other risks and uncertainties that
could cause its actual results to differ materially from its current expectations and from the
forward-looking statements contained in this press release. Dover Corporation undertakes no
obligation to update any forward-looking statement.