(RTTNews) - Diversified machinery company Dover Corp. (DOV: News ) reported Friday a 43% year-over-year decline in profit for the third quarter, hurt by lower segment margins as well as a 24% drop in revenues, amid the continuing weakness in global economy. Earnings per share from continuing operations for the quarter dropped, but topped analysts' expectations by ten cents. The company currently expects fiscal 2009 earnings to be around the midpoint of the prior guidance range.

In a statement, president and chief executive officer, Robert Livingston said, "The signs of stability we observed during the second quarter carried through to the third quarter across the majority of our businesses. I am pleased that we were able to leverage an 8% sequential improvement in revenue into a 38% sequential improvement in segment earnings. Operating margins expanded sequentially at all segments and came in at 14.3%, reflecting our year-long restructuring efforts."

Third Quarter Results

The New York-based maker of truck bodies, car wash systems and internal engine components reported net earnings of $106.88 million or $0.57 per share for the third quarter, lower than $187.65 million or $1.00 per share in the prior-year quarter.

Earnings from continuing operations for the quarter dropped to $107.48 million or $0.58 per share from $190.34 million or $1.01 per share in the year-ago quarter. On average, eight analysts polled by Thomson Reuters expected earnings of $0.48 per share for the quarter. Analysts' estimates typically exclude special items.

Total consolidated revenues for the quarter declined 24% to $1.50 billion from $1.97 billion in the same quarter last year, hurt by a decline in core business revenue of 24%, a negative impact of foreign exchange of 2%, and a 2% increase from net acquisitions. Three Wall Street analysts had a consensus revenue estimate $1.46 billion for the quarter.
Segmental Details

The company has four operating segments: Industrial Products, Engineered Systems, Fluid Management, and Electronic Technologies.

Revenues for Dover's industrial products dropped 37% to $396.04 million from $629.61 million in the prior-year quarter, primarily driven by continued weakness in infrastructure, automotive and energy end-markets.

At engineered systems, third quarter revenues edged down 1% to $520.69 million from $524.65 million in the year-ago quarter as revenue gains from Tyler Refrigeration acquisition in May were offset by weakness in most other end-markets.

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