Jul. 30--B/E Aerospace Inc. on Tuesday reported record second-quarter sales and profits and raised its 2008 earnings guidance.

Wall Street reacted favorably, bidding up shares by $2.04, or 8.2 percent, to a closing price of $26.87 on the Nasdaq.

The Wellington-based maker of aircraft cabin interior products and distributor of fasteners had net income of $53.9 million, or 59 cents per share, up 90 percent from the same period in 2007. In the quarter ended June 30, net sales for B/E Aerospace Inc. rose 31.1 percent from a year earlier to $522.2 million.

The business jet segment showed the fastest growth compared to last year because net sales rose 63 percent to $72.4 million. The company attributed success in this division to improved operational efficiency and higher sales levels. All five company segments showed double-digit net sales growth in the quarter.

"Strong demand coupled with solid operational execution resulted in yet another record quarter for B/E Aerospace," CEO Amin Khoury said in a Tuesday conference call.

Despite tough times facing the domestic airline industry and its announced capacity cuts, B/E Aerospace isn't expecting a large financial impact because in the first six months, 55 percent of the company's sales were to international customers. Khoury said, based on the company's performance, he believes the stock is undervalued.

On Monday, the 21-year-old company announced it completed a $1.05 billion acquisition of Honeywell Inc.'s consumables solutions distribution business with $901.4 million in cash and 6 million shares of common stock.

The company raised its 2008 earnings guidance to $2.37 per share, up 2 cents, excluding the purchase of the Honeywell division. In the first six months of 2008, net income rose to $156.6 million, up 74 percent from the same period last year.

Bowdeya Tweh can be reached at or 954-356-4528.

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Story Source: South Florida Sun-Sentinel