Charlotte-based Goodrich Corp., the largest supplier of aircraft landing gear, beat analysts' estimates with a 50 percent jump in second-quarter earnings as it sold more parts to planemakers amid higher demand for new jets that use less fuel.
The company said 2008 profit will be greater than it projected in April. Net income climbed to $186.6 million, or $1.46 a share, from $124.8 million, or 98 cents, a year earlier. Sales gained 17 percent to $1.85 billion, Goodrich said Thursday in a statement.
Goodrich has benefited from higher sales to Airbus SAS and Boeing Co., its biggest customers, which are building aircraft for carriers combating rising oil prices with newer, more fuel- efficient models. Unlike some competitors, Goodrich's exposure to the threat that groundings of older jets will reduce demand for more-profitable spare parts is limited, said Chief Executive Officer Marshall Larsen.
The company is looking at acquisitions, with a focus on the defense side of the business, Larsen said during a conference call. “It would be very nice to find something in the $250-500 million revenue range to add to our portfolio to balance it.”
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Goodrich's profit from continuing operations of $1.44 a share beat projections of $1.08, the average of 18 analyst estimates compiled by Bloomberg. Analysts predicted sales of $1.8 billion.