Orbotech's 1Q profit falls as rising costs offset sales

Net income for the three months ended March 31 fell to $3.7 million, or 11 cents per share, compared with $5.6 million, or 17 cents per share, in the 2007 quarter, the Yavne, Israel-based company said.

Analysts polled by Thomson Financial expected, on average, earnings per share of 10 cents.

Orbotech's cost of revenues increased to $59.6 million from $49.9 million, and selling, general and administrative expenses rose to $17.9 million from $16.4 million.

The company estimated that the weaker dollar cut earnings per share by 4 cents.

Revenue rose to $100.5 million from $86.1 million. Analysts expected revenue of $94.9 million.

Sales of medical imaging equipment, a business Orbotech acquired in August 2007, were $7.3 million. Sales of equipment to the printed circuit board industry, relating to assembled boards, rose to $8.1 million compared with $6.8 million in the year-earlier quarter.