U.S. News

Alstom First-Quarter Revenue 27% Higher


French transport and engineering company Alstom said Thursday fiscal first-quarter revenue rose 27% on a rebound in transport orders and growing sales at its power systems and services unit.

Total sales rose to 4 billion euros ($5.5 billion) in the three months through June, from 3.19 billion euros a year earlier, beating an average 3.61 billion euros forecast by five analysts polled by Dow Jones Newswires.

Alstom, in a statement, confirmed its forecast of double-digit growth and a 7% group operating margin for the full-year 2008, which ends next March.

Patrick Kron, chairman and CEO, said the level of orders booked during the first quarter confirms "our good positioning across all our sectors."

Sales in Alstom's transport division, which makes subways, tramways and high-speed passenger trains, rose 15% in the quarter to 1.39 billion euros ($1.91 billion) from the same quarter a year ago.

The company said total new orders jumped 62% to 7.6 billion euros ($10.45 billion) from 4.69 billion euros, with particularly strong orders in the rail division. That was well above analyst expectations.

The stock opened up 5% Thursday at 130 euros ($178.79).