BHI $83.68. Outlook positive for 2008.
UPDATE 1-Baker Hughes posts higher 1st-qtr profit
Tue Apr 22, 2008 4:01am EDT
(Adds sales, outlook details)
NEW YORK, April 22 (Reuters) - Baker Hughes (BHI.N: Quote, Profile, Research) on Tuesday reported a 5.4 percent increase in first-quarter profit as high energy prices encouraged customers to spend more on drilling and exploration.
Net profit in the quarter was $395 million, or $1.27 per diluted share, compared with $374.7 million, or $1.17 cents per diluted share in the same period a year earlier.
Analysts had, on average, expected it to earn $1.20 a share, according to Reuters Estimates.
Revenue in the quarter rose 8 percent to $2.67 billion.
North America revenue and revenue outside the region were both up 8 percent, the company said.
Debt rose to $1.55 billion in the quarter, according to a statement from Baker Hughes.
For 2008, the company forecast revenue outside North America would increase in a low- to mid-teens percentage range.
Baker Hughes expects capital expenditure to be about $1.3 billion in the 2008 year.
It said corporate and other costs, excluding interest expense, and interest and dividend income are expected to be roughly $245 million.
The company also forecast depreciation and amortization costs between $640 million and $650 million for 2008.
Baker Hughes said it acquired Gaffney, Cline and Associates and GeoMechanics International, both reservoir technology and consulting firms, to improve its ability to work with customers beyond the wellbore.
(Reporting by Aarthi Sivaraman; Editing by Quentin Bryar/Rory Channing)
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