Safety and security products maker Tyco International (NYSE:TYC) revealed on Wednesday a stronger-than-expected 44% increase in fourth-quarter profit, and said it is on track with its planned separation.
The diversified manufacturer posted net income from continuing operations of $392 million, or 83 cents a share, compared with $273 million, or 55 cents a share, in the same quarter last year.
Continue Reading Below
Excluding one-time items, the company earned 92 cents a share, which is ahead of average analyst estimates polled by Thomson Reuters of 86 cents.
Revenue for the three-month period was $4.69 billion, up 4% from $4.49 billion a year ago, trumping the Street’s view of $4.51 billion.
Tyco CEO Ed Breen attributed the improved results and stronger operating margin to increased investment in research and development and technology, while completing strategic acquisitions to strengthen its core security, fire and flow control businesses.
The company is on track with its September-announced plan to split Tyco into three separate public companies next year. That deal remains subject to conditions including final approval by the Tyco board and its shareholders and regulatory clearance.
Breen said with strong service revenue, order momentum and the restructuring plans, Tyco is “well-positioned for continued growth in 2012.”