BE Aerospace (BEAV) said on Monday that it booked a stronger-than-expected 44% increase in first-quarter profit, led by higher demand for spare parts, and expects orders to continue to grow despite challenges deriving from natural disasters and unrest.
The Wellington, Fla.-based company posted net earnings of $50.3 million, or 49 cents a share, compared with $33.8 million, or 34 cents a share, in the same quarter last year, ahead of average analyst estimates polled by Thomson Reuters of 46 cents.
Revenue for the maker of interior products for commercial aircraft and business jet cabins was $600.2 million, up 29.5% from $463.5 million a year ago, beating the Street’s view of $570.8 million.
Sales were led by a record $756 million in bookings, which grew 48% from the year-earlier period. Orders widened for both commercial aircraft spares and consumables. Earnings were further cushioned by a 17.3% revenue contribution from acquisitions.
“The record bookings performance was driven by strong orders for a broad range of aircraft interior equipment for both new buy and aftermarket retrofit programs and a double digit growth rate in consumables orders,” said BE Aerospace CEO Amin Khoury said in a statement.
The company said that in spite of several challenges, including the impact of the catastrophic earthquake and tsunami in Japan and unrest in the Middle East, the global economy and global passenger traffic continued to recover during the quarter.
Looking ahead, Khoury said the company expects orders and backlog to continue to grow this year, particularly as demand for both commercial aircraft sparse and consumables continue to widen.