WEST WINDSOR, N.J. – Tyco International Ltd. (TYC) on Tuesday reported a 1.4 percent drop in its first-quarter profit as charges for early retirement of debt and for divestitures outweighed surging sales. Its shares fell more than 3 percent.
The maker of medical, engineered and electronic products said net income for its October-December quarter was $709 million, or 33 cents per share, down from $719 million, or 34 cents per share, in the year-ago quarter.
Excluding one-time charges for the divestitures and for reducing debt by $1.2 billion, Tyco posted earnings per share of 40 cents. The consensus forecast of analysts surveyed by Thomson First Call was 42 cents per share.
West Windsor-based Tyco, best known for its ADT Security Services (search) business, said revenues increased about 10.5 percent to $10.1 billion from $9.7 billion a year earlier. The company reported sales increases in all five divisions, led by electronics and by engineered products and services.
"Our first-quarter results were in line with our expectations," Ed Breen, chairman and chief executive officer, said in a prepared statement. "We remain focused on driving increased operating efficiencies and we're investing for growth in our businesses."
Tyco shares lost $1.29, or 3.6 percent, to $34.85 on the New York Stock Exchange (search). That is still near their recent 52-week high of $36.58.