Dover Reports First Quarter 2013 Results; Reaffirms Full-Year Outlook

    Dover Reports First Quarter 2013 Results; Reaffirms Full-Year Outlook

PR Newswire

DOWNERS GROVE, Ill., April 17, 2013

DOWNERS GROVE, Ill., April17, 2013 /PRNewswire/ --

  oReports quarterly revenue of $2.0 billion, an increase of 4% over the
    prior year
  oDelivers quarterly diluted earnings per share from continuing operations
    of $1.12, an increase of 12% over last year
  oAchieves adjusted quarterly diluted earnings per share from continuing
    operations of $1.10, excluding tax benefits of $0.02, up 9% from an
    adjusted prior year
  oReaffirms outlook for full year revenue growth at 7% to 9%, and diluted
    earnings per share from continuing operations of $5.05 to $5.35

Dover (NYSE: DOV) announced today that for the first quarter ended March31,
2013, revenue was $2.0 billion, an increase of 4% over the prior-year period.
The revenue increase was driven by a 6% increase from acquisitions offset by
organic decline of 1% and a minor impact from foreign exchange. Earnings from
continuing operations were $197.0 million, or $1.12 diluted earnings per share
("EPS"), compared to $186.4 million, or $1.00 EPS, in the prior-year period,
representing increases of 6% and 12%, respectively. Excluding the impact of
discrete tax items of $0.02 EPS recognized in the current quarter and $0.01
EPS recognized in the prior-year period, adjusted EPS from continuing
operations for the first quarter of 2013 was $1.10, reflecting an increase of
9% over an adjusted EPS of $1.01 in the prior-year period.

Commenting on the first quarter results, Dover's President and Chief Executive
Officer, Robert A. Livingston, said, "We were pleased with our first quarter
results. We achieved solid revenue growth from our businesses serving the
production and downstream energy markets and the consumer electronics market.
These results helped offset the anticipated revenue decline driven by a lower
North American rig count and reduced refrigeration activity, principally
associated with a major retailer, as well as soft European industrial markets.
In addition, our recently acquired refrigeration business, Anthony
International, is off to a great start and we are enthusiastic about Dover's
continued strength in that market. We also made progress on our $1 billion
share repurchase program, repurchasing 4 million shares in the first quarter."

"I am encouraged by our solid seasonal bookings growth as we begin the second
quarter. In total, bookings grew 7% and resulted in a book-to-bill of 1.09."

"Looking ahead, our full year view of 2013 is essentially unchanged from our
previous guidance. We continue to expect full year organic growth of 3% to
5%, complemented by acquisition growth of 4%, resulting in total revenue
growth of 7% to 9%. Accordingly, we are reaffirming our full year diluted EPS
from continuing operations will be in the range of $5.05 - $5.35."

Net earnings for the first quarter of 2013 were $210.0 million or $1.20 EPS,
including earnings from discontinued operations of $13.0 million, or $0.07
EPS, compared to net earnings of $196.1 million, or $1.05 EPS, for the same
period of 2012, which included earnings from discontinued operations of $9.7
million, or $0.05 EPS.

Dover will host a webcast of its first quarter 2013 conference call at 10:00
A.M. Eastern Time (9:00 A.M. Central Time) on Wednesday, April17, 2013. The
webcast can be accessed on the Dover website at www.dovercorporation.com. The
conference call will also be made available for replay on the website.
Additional information on Dover's first quarter results and its operating
segments can also be found on the Company's website.

About Dover:

Dover is a diversified global manufacturer with annual revenues of over $8
billion. For over 50 years, Dover has been delivering outstanding products
and services that reflect its market leadership and commitment to operational
and technical excellence. The Company's entrepreneurial business model
encourages, promotes and fosters deep customer engagement which has led to
Dover's well-established and valued reputation for providing superior customer
service and industry-leading product innovation. Dover focuses on innovative
equipment and components, specialty systems and support services through its
four major operating segments: Communication Technologies, Energy, Engineered
Systems and Printing & Identification. Headquartered in Downers Grove,
Illinois, Dover employs 35,000 people worldwide.Dover is traded on the New
York Stock Exchange under "DOV."Additional information is available on our
website at www.dovercorporation.com.

Forward looking Statement:

This press release contains "forward-looking" statements within the meaning of
the Securities Exchange Act of 1934, as amended, and the Private Securities
Litigation Reform Act of 1995. Such statements relate to, among other things,
operating and strategic plans, income, earnings, cash flows, changes in
operations, operating improvements, industries in which Dover businesses
operate and the U.S. and global economies. Statements in this press release
that are not historical are hereby identified as "forward-looking statements"
and may be indicated by words or phrases such as "anticipates," "expects,"
"believes," "indicates," "suggests," "will," "plans," "supports," "projects,"
"should," "would," "could," "hope," "forecast" and "management is of the
opinion," or the use of the future tense and similar words or phrases.
Forward-looking statements are subject to inherent risks and uncertainties
that could cause actual results to differ materially from current
expectations, including, but not limited to, the state of the worldwide
economy and sovereign credit, especially in Europe; political events that
could impact the worldwide economy; the impact of natural disasters and their
effect on global supply chains and energy markets; current economic conditions
and uncertainties in the credit and capital markets; instability in countries
where Dover conducts business; possible future terrorist threats and their
effect on the worldwide economy; the ability of Dover's businesses to expand
into new geographic markets and to anticipate and meet customer demands for
new products and product enhancements; increased competition and pricing
pressures in the markets served by Dover's businesses; the impact of loss of a
single-source manufacturing facility; changes in customer demand or loss of a
significant customer; the relative mix of products and services which impacts
margins and operating efficiencies; short-term capacity constraints; increases
in the cost of raw materials; domestic and foreign governmental and public
policy changes including environmental regulations, conflict minerals
disclosure requirements, and tax policies (including domestic and
international export subsidy programs, R&E credits and other similar
programs); protection and validity of patent and other intellectual property
rights; the ability to identify and successfully consummate value-adding
acquisition opportunities; Dover's ability to achieve expected savings from
integration, synergy and other cost-control initiatives; unforeseen
developments in contingencies such as litigation; international economic
conditions including interest rate and currency exchange rate fluctuations;
and a downgrade in Dover's credit ratings. Dover refers you to the documents
that it files from time to time with the Securities and Exchange Commission,
such as its reports on Form 10-K, Form 10-Q and Form 8-K, for a discussion of
these and other risks and uncertainties that could cause its actual results to
differ materially from its current expectations and from the forward-looking
statements contained in this press release. Dover undertakes no obligation to
update any forward-looking statement, except as required by law.



INVESTOR SUPPLEMENT - FIRST QUARTER 2013



DOVER CORPORATION

CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS

(unaudited)(in thousands, except per share data)
                                                  Three Months Ended March 31,
                                                  2013            2012
Revenue                                           $  2,039,573    $ 1,954,614
Cost of goods and services                        1,262,951       1,208,534
Gross profit                                      776,622         746,080
Selling and administrative expenses               484,421         453,989
Operating earnings                                292,201         292,091
Interest expense, net                             30,244          30,031
Other (income) expense, net                       (4,719)         1,785
Earnings before provision for income taxes and    266,676         260,275
discontinued operations
Provision for income taxes                        69,687          73,866
Earnings from continuing operations               196,989         186,409
Earnings from discontinued operations, net        13,014          9,654
Net earnings                                      $  210,003      $ 196,063
Comprehensive earnings                            $  178,724      $ 237,305
Basic earnings per common share:
Earnings from continuing operations               $  1.14         $ 1.01
Earnings from discontinued operations, net        0.08            0.05
Net earnings                                      1.21            1.07
Weighted average shares outstanding               173,448         183,737
Diluted earnings per common share:
Earnings from continuing operations               $  1.12         $ 1.00
Earnings from discontinued operations, net        0.07            0.05
Net earnings                                      1.20            1.05
Weighted average shares outstanding               175,567         186,706
Dividends paid per common share                   $  0.35         $ 0.315



DOVER CORPORATION

QUARTERLY SEGMENT INFORMATION

(unaudited)(in thousands)
               2013           2012
               Q1             Q1            Q2            Q3            Q4            FY 2012
REVENUE
Communication  $ 372,790      $ 357,575     $ 361,689     $ 396,470     $ 400,851     $ 1,516,585
Technologies
Energy         561,198        531,570       538,786       562,263       539,985       2,172,604
Engineered
Systems
Fluid          203,991        180,364       211,974       218,324       206,500       817,162
Solutions
Refrigeration  664,294        642,213       674,501       674,116       613,012       2,603,842
& Industrial
Eliminations   (352)          (453)         (352)         (319)         (336)         (1,460)
               867,933        822,124       886,123       892,121       819,176       3,419,544
Printing &     237,877        243,570       251,875       246,945       254,141       996,531
Identification
Intra-segment  (225)          (225)         (184)         (194)         (322)         (925)
eliminations
Total
consolidated   $ 2,039,573    $ 1,954,614   $ 2,038,289   $ 2,097,605   $ 2,013,831   $ 8,104,339
revenue
NET EARNINGS
Segment
Earnings:
Communication  $ 44,208       $ 46,556      $ 50,322      $ 63,706      $ 58,376      $ 218,960
Technologies
Energy         139,545        132,115       133,936       139,038       133,561       538,650
Engineered     117,178        122,092       133,808       144,245       101,807       501,952
Systems
Printing &     29,752         26,089        28,918        39,502        40,650        135,159
Identification
Total Segments 330,683        326,852       346,984       386,491       334,394       1,394,721
Corporate
expense /      33,763         36,546        36,335        32,001        31,127        136,009
other
Net interest   30,244         30,031        29,715        30,399        30,996        121,141
expense
Earnings from
continuing
operations     266,676        260,275       280,934       324,091       272,271       1,137,571
before
provision for
income taxes
Provision for  69,687         73,866        75,778        90,761        64,047        304,452
income taxes
Earnings from
continuing     196,989        186,409       205,156       233,330       208,224       833,119
operations
Earnings
(loss) from
discontinued   13,014         9,654         8,945         7,716         (48,364)      (22,049)
operations,
net
Net earnings   $ 210,003      $ 196,063     $ 214,101     $ 241,046     $            $ 811,070
                                                                        159,860
SEGMENT
OPERATING
MARGIN
Communication  11.9        %  13.0        % 13.9        % 16.1        % 14.6        % 14.4        %
Technologies
Energy         24.9        %  24.9        % 24.9        % 24.7        % 24.7        % 24.8        %
Engineered     13.5        %  14.9        % 15.1        % 16.2        % 12.4        % 14.7        %
Systems
Printing &     12.5        %  10.7        % 11.5        % 16.0        % 16.0        % 13.6        %
Identification
Total Segment  16.2        %  16.7        % 17.0        % 18.4        % 16.6        % 17.2        %
DEPRECIATION
AND
AMORTIZATION
EXPENSE
Communication  $ 35,501       $ 31,513      $ 32,828      $ 32,997      $ 35,281      $ 132,619
Technologies
Energy         26,298         21,184        23,533        24,639        25,721        95,077
Engineered     31,551         19,582        23,913        23,060        27,066        93,621
Systems
Printing &     7,630          8,331         8,496         8,777         7,998         33,602
Identification
Corporate      859            700           765           842           359           2,666
               $ 101,839      $ 81,310      $ 89,535      $ 90,315      $ 96,425      $ 357,585



DOVER CORPORATION

QUARTERLY SEGMENT INFORMATION

(continued)

(unaudited)(in thousands)
               2013          2012
               Q1            Q1           Q2           Q3           Q4           FY 2012
BOOKINGS
Communication  $ 379,122     $ 347,291    $ 387,058    $ 411,005    $ 363,624    $ 1,508,978
Technologies
Energy         620,640       585,775      530,352      526,824      550,091      2,193,042
Engineered
Systems
Fluid          223,764       184,711      204,139      197,767      209,872      796,489
Solutions
Refrigeration  755,026       711,911      666,223      600,065      606,931      2,585,130
& Industrial
Eliminations   (373)         (408)        (376)        (258)        (399)        (1,441)
               978,417       896,214      869,986      797,574      816,404      3,380,178
Printing &     237,217       249,773      251,733      244,611      252,937      999,054
Identification
Intra-segment  (720)         (609)        (221)        (759)        (1,020)      (2,609)
eliminations
Total
consolidated   $ 2,214,676   $ 2,078,444  $ 2,038,908  $ 1,979,255  $ 1,982,036  $ 8,078,643
bookings
BACKLOG
Communication  $ 458,765     $ 451,110    $ 476,745    $ 491,041    $ 453,172
Technologies
Energy         311,793       296,360      282,364      248,233      256,093
Engineered
Systems
Fluid          178,854       191,327      172,300      156,191      160,890
Solutions
Refrigeration  592,922       598,910      586,824      515,285      516,559
& Industrial
Eliminations   (178)         (132)        (155)        (94)         (157)
               771,598       790,105      758,969      671,382      677,292
Printing &     95,353        102,117      98,216       98,356       97,857
Identification
Intra-segment  (886)         (986)        (648)        (324)        (591)
eliminations
Total
consolidated   $ 1,636,623   $ 1,638,706  $ 1,615,646  $ 1,508,688  $ 1,483,823
backlog



DOVER CORPORATION

QUARTERLY EARNINGS PER SHARE

(unaudited)(in thousands, except per share data*)
             2013        2012
             Q1          Q1         Q2         Q3         Q4         FY 2012
Basic
earnings
(loss) per
common
share:
Continuing   $ 1.14      $ 1.01     $ 1.12     $ 1.28     $ 1.17     $ 4.59
operations
Discontinued 0.08        0.05       0.05       0.04       (0.27)     (0.12)
operations
Net earnings 1.21        1.07       1.17       1.33       0.90       4.47
Diluted
earnings
(loss) per
common
share:
Continuing   $ 1.12      $ 1.00     $ 1.10     $ 1.27     $ 1.16     $ 4.53
operations
Discontinued 0.07        0.05       0.05       0.04       (0.27)     (0.12)
operations
Net earnings 1.20        1.05       1.15       1.31       0.89       4.41
Adjusted diluted earnings per common share (calculated below):
Continuing   $ 1.10      $ 1.01     $ 1.10     $ 1.25     $ 1.09     $ 4.44
operations
Net earnings (loss) and average shares used in calculated earnings (loss) per
share amounts are as follows:
Net earnings
(loss):
Continuing   $ 196,989   $ 186,409  $ 205,156  $ 233,330  $ 208,224  $ 833,119
operations
Discontinued 13,014      9,654      8,945      7,716      (48,364)   (22,049)
operations
Net earnings 210,003     196,063    214,101    241,046    159,860    811,070
Average
shares
outstanding:
Basic        173,448     183,737    183,494    181,763    177,257    181,551
Diluted      175,567     186,706    185,780    183,932    179,365    183,993



Note:
Earnings from continuing operations are adjusted by discrete tax items to
derive adjusted earnings from continuing operations and adjusted diluted
earnings per common share as follows:

            2013        2012
            Q1          Q1         Q2         Q3         Q4         FY 2012
Adjusted
earnings
from
continuing
operations:
Earnings
from        $ 196,989   $ 186,409  $ 205,156  $ 233,330  $ 208,224  $ 833,119
continuing
operations
Gains
(losses)
from        4,525       (1,610)    (372)      4,513      13,606     16,137
discrete
and other
tax items
Adjusted
earnings
from        $ 192,464   $ 188,019  $ 205,528  $ 228,817  $ 194,618  $ 816,982
continuing
operations
Adjusted
diluted
earnings
per common
share:
Earnings
from        $ 1.12      $ 1.00     $ 1.10     $ 1.27     $ 1.16     $ 4.53
continuing
operations
Gains
(losses)
from        0.02        (0.01)     —          0.02       0.07       0.09
discrete
and other
tax items
Adjusted
earnings
from        $ 1.10      $ 1.01     $ 1.10     $ 1.25     $ 1.09     $ 4.44
continuing
operations
* Per share data may
not add due to
rounding.



DOVER CORPORATION

QUARTERLY FREE CASH FLOW

(unaudited)(in thousands)
           2013        2012
           Q1          Q1          Q2          Q3          Q4          FY 2012
Cash flow
from       $ 78,326    $ 161,327   $ 243,363   $ 285,811   $ 570,659   $ 1,261,160
operating
activities
Less:
Additions
to         (47,153)    (68,249)    (72,758)    (67,842)    (88,163)    (297,012)
property,
plant and
equipment
Free cash  $ 31,173    $ 93,078    $ 170,605   $ 217,969   $ 482,496   $ 964,148
flow
Free cash
flow as a
percentage
of         15.8     %  49.9      % 83.2      % 93.4      % 231.7     % 115.7       %
earnings
from
continuing
operations
Free cash
flow as a  1.5      %  4.8       % 8.4       % 10.4      % 24.0      % 11.9        %
percentage
of revenue



SOURCE Dover

Website: http://www.dovercorporation.com
Contact: Paul Goldberg, Vice President - Investor Relations, (212) 922-1640
 
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