Defense contractor Exelis posts lower quarterly profit
(Reuters) - Defense contractor Exelis Inc (XLS.N), which was spun off last year from ITT Corp (ITT.N), reported a lower third-quarter profit on Friday as demand fell for its night vision goggles and jammers that prevent roadside bombs.
Net income came to $88 million, or 47 cents a share, for the quarter, down 13 percent from $101 million, or 54 cents a share, a year earlier.
Adjusted for items, profit was 45 cents a share, in line with analyst expectations on average, according to Thomson Reuters I/B/E/S. Shares of Exelis were up 0.7 percent, or 8 cents, to $11.16 in morning trading.
Revenue fell about 11 percent to $1.36 billion, higher than the $1.35 billion analysts had expected. Information and technical services revenue fell 5 percent, and revenue in the intelligence electronics division fell 18 percent.
The company stood by a prior forecast calling for full-year revenue in the range of $5.4 billion to $5.5 billion and adjusted earnings of $1.80 a share to $1.86 a share. Analysts currently expect $1.82 a share for this year.
The possibility of additional U.S. budget cuts clouds the defense industry's outlook for 2013. Companies have been looking to drive down costs and increase international sales to help offset declining U.S. demand.
(Reporting by Karen Jacobs; Editing by Gerald E. McCormick)