NEW YORK, April 26 (GenomeWeb News) - Thermo Electron today said that first-quarter revenues grew 22 percent as R&D spending rose 6.6 percent and profits contracted 4 percent.
Total receipts for the three months ended April 1 increased to $684 million from $559 million in the first quarter of 2005. The firm attributed the growth to a 30-percent rise in revenue for its life and laboratory sciences segment, which grew to $512 million from $393 million year over year. A 16-percent contribution from acquired businesses also helped drive the growth.
Sales in the firm's measurement and control segment increased 4 percent to $172 million from $166 million, Thermo said.
Thermo said R&D spending increased 6.6 percent in the quarter to $38.7 million from $36.3 million in the comparable period last year.
Net profit in the period contracted 4 percent to $46.9 million, or $.28 per share, from $48.9 million, or $.30 per share, year over. The firm's earnings were hit by $25.6 million, or $.07 per share, in amortization expenses.
The firm finished the first quarter with $230.8 million in cash and cash equivalents.
Thermo officials predicted 2006 revenue of $2.81 billion to $2.86 billion, an increase of 7 percent to 9 percent over 2005 revenue of $2.63 billion, with organic growth of 5 percent to 6 percent for the year.