UPDATE 2-Robbins & Myers Q3 results top market, shares rise

* Q3 EPS $0.25 vs est $0.21

* Revenue $147 mln vs est $138.4 mln

* Sees Q4 EPS $0.31 to $0.41 vs est $0.39

* Shares up as much as 5 percent
(Adds analysts’ comments, updates share movement)

By Megha Mandavia

BANGALORE, June 24 (BestGrowthStock) – Diversified manufacturer
Robbins & Myers Inc (RBN.N: ) posted better-than-expected
quarterly results on improved customer demand, mainly in its
fluid management segment, as energy markets saw a recovery,
sending its shares up as much as 5 percent.

The company, which serves the energy, pharmaceutical and
industrial markets, forecast fourth-quarter profit (Read more your timing to make a profit.) in the range
of 31 cents to 41 cents a share for the fourth quarter.

Analysts on average were looking for a profit of 39 cents a
share, according to Thomson Reuters I/B/E/S.

“We believe the rebound in rig counts contributed to the 71
percent year-over-year order increase in the fluid management
group segment,” BMO Capital Markets analyst Charles Brady said
in a note to clients.

Analyst Bo Mckenzie of Global Hunter Securities, who
believes that the fluid management group’s growth will be
strong in the next couple of years, said 60 percent to 80
percent of the incremental rigs that are being put up are
drilling horizontally in the United States.”

Independent U.S. oil and gas companies have in recent years
been focused on natural gas production as advances in
technology like hydraulic fracturing and horizontal drilling
allow them to tap natural gas trapped in these shale
formations. [ID:nN17188584]

“We are benefiting from recovering energy markets, and have
seen notable sales increases in our product lines that support
horizontal drilling activity for shale projects,” Chief
Executive Peter Wallace said in a statement.

THIRD-QUARTER RESULTS

For the third quarter ended May 31, Robbins & Myers’ net
income rose to $8.2 million, or 25 cents a share, from $10.3
million, or 31 cents a share, a year ago.

Sales rose about 3 percent to $147 million. Sales in the
fluid management segment grew about 10 percent to $80 million.

Analysts on average were expecting earnings of 21 cents a
share, on revenue of $138.4 million, for the third quarter.

Shares of the Dayton, Ohio-based company were trading up 3
percent at $22.88 after paring some of its gains Thursday
morning on the New York Stock Exchange.

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(Reporting by Megha Mandavia in Bangalore; Editing by
Gopakumar Warrier, Jarshad Kakkrakandy)

UPDATE 2-Robbins & Myers Q3 results top market, shares rise