Tyco International Ltd
The maker of security systems for homes and businesses earned $315 million, or 67 cents per share, in the second quarter ended March 25, up from $310 million, or 65 cents per share, a year earlier.
Earnings from continuing operations, excluding special items, were 73 cents per share, 5 cents ahead of the analysts' average estimate, according to Thomson Reuters I/B/E/S.
Sales slipped 2 percent to $3.99 billion, matching forecasts.
Year-earlier revenue included a business in which Tyco sold a majority stake. Excluding those results, sales were up 6 percent.
Sales rose 12 percent at the security solutions business, but profit jumped 25 percent. Tyco cited demand from commercial customers and growth in recurring service revenue, which commands a higher margin.
Tyco has been the center of takeover speculation this month.
People familiar with the matter said France's Schneider Electric SA
They closed Wednesday at $49.17, valuing the company at about $23 billion.
Tyco, which also makes fire and safety equipment and flow control products used in the energy industry, did not immediately update its full-year profit forecast.
The fire business showed higher sales and earnings, but income and revenue were both lower in the flow control unit.
(Reporting by Nick Zieminski; Editing by Lisa Von Ahn)