Rockwell Collins Q1 Profit Down - Update

(RTTNews) - Aircraft electronics maker Rockwell Collins Inc. (COL), Tuesday reported a drop in profit for the first quarter, hurt largely by acquisition related costs and some mediocre rise in sales.

Cedar Rapids, Iowa-based Rockwell's first quarter profit dropped to $131 million from $132 million last year. Earnings on a per share basis, rose to $0.96 from $0.94 a year ago, on a lower share count.

On average, 16 analysts polled by Thomson Reuters expected a profit of $0.94 per share for the quarter. Analysts' estimates typically exclude special items.

The company incurred a total of $15 million of transaction costs related to the acquisition of ARINC during the first quarter. During the first quarter, Rockwell completed the acquisition of ARINC from Carlyle Group for $1.42 billion.

Sales for the quarter grew 1 percent to $1.07 billion from $1.06 billion a year ago. Analysts expected revenue of $1.07 billion for the quarter.

Moving ahead, the company raised its earnings outlook to a range of $4.95 billion to $5.05 billion, from a prior guidance of $4.5 billion to $4.6 billion. ARINC sales are estimated in the range of $400 million to $430 million. Analysts currently expect revenues of $5.00 billion for 2014.

Rockwell also lifted its earnings outlook by 5 cents to a range of $4.35 to $4.55. Analysts currently expect earnings of $4.44 per share for 2014.

COL is currently trading at $78.92, up $1.34 or 1.73%, on the NYSE.