Tyco International Ltd reported better-than-expected quarterly earnings from continuing operations on Thursday, helped by demand in its valves and pipes segment, even as the company's exit from some businesses drove net income down 85 percent.
Tyco, whose other businesses include ADT security services and fire and safety products, reported net earnings of $181 million, or 36 cents per share, for the fourth quarter ended September 28. A year earlier, when results benefited from income from discontinued operations, net profit was $1.25 billion, or $2.45 per share.
Earnings from continuing operations were 57 cents per share, excluding costs from Tyco's restructuring and break-up. Analysts on average had expected 55 cents, according to Reuters Estimates.
Revenue from continuing operations rose 9 percent to $5.03 billion, compared with Wall Street forecasts of $4.93 billion.
Each of Tyco's five segments posted higher quarterly sales, led by the valve and pipe unit. Sales there jumped 23 percent, reflecting demand from energy and water industries. Other divisions reported single-digit increases, including a 6 percent rise at ADT Worldwide, Tyco's biggest unit.
Tyco said that starting this quarter, it was counting its infrastructure services business as a discontinued operation as it pursues a sale of the division.
(Reporting by Nick Zieminski; Editing by Lisa Von Ahn)