UPDATE 2-UK's Chloride year profit up, order book strong

* Profit 43.7 million pounds vs 33.3 million

* Says year-end order book at record level

* Shares rise as much as 9 pct

(Adds FD comments, shares, analyst comment)

LONDON, June 1 (Reuters) - Britain's Chloride Plc (CHLD.L), which provides protection against power supply disruption, posted a 33 percent increase in 2008 profit on Monday and said it had made a good start to the current year.

Finance Director Neil Warner said the group's order book at the end of March, at a record 138 million pounds ($221 million), already covered 40 percent of the market's estimated sales for the current year.

"We're seeing strength in areas like oil, gas and energy, that some of our competitors aren't in," he told reporters on a conference call.

Rival Emerson Electric Co (EMR.N) said last month order trends had worsened in April and offered a gloomy outlook for Europe, while France's Schneider Electric (SCHN.PA) said it expected a 15 percent drop in sales this year. [ID:nN19416911] [ID:nLN306765]

"We've been able to temper the impact of the downturn with our breadth of market and geographies," Warner said, adding that business outside western Europe now accounted for 43 percent of group sales, up from just 25 percent two or three years ago.

Shares in the group, whose products protect against power shortages at hospitals and airports, were up 3.8 percent at 158 pence at 0856 GMT, having earlier risen as high as 166.25 pence.

Analysts highlighted the late cycle nature of Chloride's business and said prices could come under pressure.

"People do worry that Chloride is late-cycle, but this was a reassuring set of results," said analyst Ian Robertson at Seymour Pierce.

Altium Securities said the group's service business would help to offset weakness elsewhere.

"The group is far better balanced this cycle as it enters the softer trading period. By our estimates, Service generates the bulk of profits and will grow in the current year," Altium analysts wrote in a note.

Chloride's Warner said that in the UK, for example, although order intake was down, sales were up thanks to the service business.

"It's wise in these circumstances to be a little bit cautious," he added. The company reported adjusted pretax profit of 43.7 million pounds ($70.1 million) for the year to end-March on sales up 22 percent at 326.7 million.

The market was expecting adjusted pretax profit of 43.5 million pounds, up from 33.3 million last year, according to a consensus of 10 analysts given by a company spokesman. (Reporting by Victoria Bryan; Editing by Paul Sandle/Will Waterman) ($1=.6236 Pound)