* Q3 EPS $0.64 vs est. $0.36
* Q3 rev up 38 pct at $464.2 mln vs est. $389.3 mln
* Sees rev growing 10 pct, minus raw material surcharge, in
* Shares up 6 pct, shy of 3-year high
(adds analyst comment)
By Krishna N Das
BANGALORE, April 26 Companies such as Carpenter
Technology that serve aircraft makers are flying high on
demand for their alloys as more people take to the skies in
emerging Asian markets.
Carpenter, whose alloys were used in aeroplanes made by the
Wright Brothers, posted its first market-topping profit in four
quarters, as sales to the aerospace market, its biggest, rose by
nearly a third to $195.7 million.
Shares of Reading, Pennsylvania based Carpenter rose 6
percent to $47.81 -- their highest in nearly three years. The
stock has beaten the S&P Steel Sub-Industry Index by
2 percent this year.
Airplane makers such as Airbus , Boeing Co ,
Bombardier (BBDb.TO) and Lockheed Martin are placing
more orders with companies like Carpenter, Allegheny
Technologies and Titanium Metals to meet surging
demand in China, India and other fast-growing Asian markets.
Carpenter produces stainless steel and titanium alloys and
serves sectors from autos and consumer goods to energy and
defence. It expects revenues to grow more than 10 percent,
excluding raw material surcharge, in fiscal 2012.
"Continued strong demand in key aerospace and energy markets
is expected, and increases in capacity in downstream operations
will be likely with related spending of $150-$200 million in
fiscal 2012," Stifel Nicolaus analyst Stephen Levenson said.
"This fits with our investment thesis."
January-March profit at the century-old company climbed to
64 cents a share. Revenue rose 38 percent to $464.2 million.
Analysts expected earnings of 36 cents a share, on revenue
of $389.3 million, according to Thomson Reuters I/B/E/S.
Revenue from Asia increased 31 percent.
(Reporting by Krishna N Das in Bangalore; Editing by Saumyadeb
Chakrabarty and Ian Geoghegan)