Flir Posts Strong Q1

A 43 percent sales surge in its Government Systems Div. helped drive a strong first quarter for Flir Systems Inc. Revenue for the quarter was up 15 percent, and earnings per share increased by 46 percent, the thermal imaging and infrared camera maker announced Friday.

Flir said net income for the quarter was $54.3 million, or 35 cents a share, compared with net income of $36.5 million, or 24 cents a share, one year ago. Its revenue for the quarter, which ended March 31, was $272 million, a 15 percent increase over 2008’s first-quarter revenue of $237 million.

Flir’s Government Systems Div. increased 43 percent over the first quarter of 2008, to $162.2 million, driven by the strength of its airborne applications, the company said. Revenue from the company’s Commercial Vision Systems Div. increased 5 percent over one year ago, to $46 million, which reflects growth in the security and surveillance and cores and components markets, Flir said.

Revenue from the company’s Thermography Div. slid 20 percent from the first quarter of last year, to $64 million, primarily due to changes in the exchange rates and lower demand in the US.

Flir said it had a $617-million backlog of orders for delivery within the next 12 months as of March 31, an increase of $146 million, or 31 percent, compared with one year ago.

“We are very pleased with our performance in the first quarter. We recorded solid revenue growth, excellent earnings growth, and the highest gross margin and operating margin in the company’s history,” said Earl Lewis, president and CEO, in a statement. “We achieved this performance through solid execution in a difficult economy, as all three divisions improved gross margins and operating margins compared with the prior year.”

Lewis said economic conditions and government order activity will be important factors in the company’s performance in the rest of 2009 and in 2010, but it is reaffirming its revenue and earnings per share outlook for the year.

Management currently expects revenue for 2009 to be in the range of $1.2 billion to $1.25 billion, an increase of approximately 14 percent compared with 2008, and net earnings to be in the range of $1.40 to $1.47 per share, an increase of about 12 percent over 2008.

For more information, visit: www.flir.com