NEW YORK/SAN FRANCISCO (Reuters) - Cameron
International Corp, the company whose equipment was
used on the rig that exploded in the Gulf of Mexico, reported a
better-than-expected quarterly profit Wednesday.
The company also increased its full-year profit guidance,
and its shares rose 1.8 percent to $40.35 in early trading.
Cameron, which was the original manufacturer of the
blow-out preventer on the ruptured BP Plc well, said it
was gearing up for customers to seek manufacturer certification
for their equipment due to tighter regulations.
"It's going to happen all over the world," Chief Executive
Jack Moore told analysts on a conference call. "We're getting
requests in every corner of the world from our customers to
support this, and so we have to ramp that up to meet it both
with personnel and with infrastructure."
Cameron said its blow-out preventers were on about half of
all the deepwater rigs around the world.
The company's second-quarter net profit slipped to $129.2
million, or 52 cents per share, from $138.6 million, or 62
cents per share, a year earlier.
Excluding one-time charges that included items related to
the Gulf disaster, its profit was 58 cents per share, beating
the 54 cents that analysts expected, according to the average
on Thomson Reuters I/B/E/S.
Revenue rose 14 percent to $1.45 billion, slightly below
the $1.47 billion analysts had forecast.
Its rival in the subsea equipment business, FMC
Technologies Inc, last week had reported a decline in
profit that disappointed the market.
FMC shares also rose about 1.8 percent in early trading.
Cameron now expects 2010 earnings, excluding charges, of
$2.30 to $2.35 per share, compared with its previous guidance
of $2.20 to $2.30 per share.
The Houston-based company, having bought back 3.2 million
shares this year, has temporarily paused its share repurchase
program due to uncertainty around litigation related to the BP
spill, Chief Financial Officer Charles Sledge said.
(Reporting by Matt Daily and Braden Reddall in San Francisco;
editing by Maureen Bavdek)