Dover 1Q Net Tumbles 64% On Charges, Demand Drop; View Cut

   DOW JONES NEWSWIRES 
 

Dover Corp.'s (DOV) first-quarter net income fell 64%, below Wall Street's expectations, amid $35.2 million in restructuring charges and falling demand, especially in the electronics and infrastructure markets.

The manufacturing holding company - which makes and services everything from printers to garbage trucks - also cut its 2009 earnings target to $2 to $2.30 a share from January's view of $2.75 to $3.05. The latest view includes $35 million of restructuring charges, much of which is likely to be recorded in the second quarter.

President and Chief Executive Robert A. Livingston said Wednesday that orders trends improved from the prior quarter, but Dover doesn't expect a "meaningful recovery" in demand this year.

Dover, which last year shed 6% of its work force, posted first-quarter net income of $53.4 million, or 29 cents a share, from $147.2 million, or 76 cents a share, a year earlier. The latest results included 12 cents of restructuring charges and a 4-cent loss from discontinued operations.

Revenue decreased 26% to $1.4 billion.

An average of analysts surveyed by Thomson Reuters called for earnings of 47 cents a share on $1.53 billion in revenue.

Dover's shares closed at $31.79 on Tuesday and weren't active premarket. The stock is down nearly 40% since Labor Day.

-By Joan E. Solsman and Tess Stynes, Dow Jones Newswires; 201-938-5500; [e-mail]