May 19, 2009 / 9:12 PM / 8 years ago

UPDATE 1-Canada's Velan Q3 profit jumps

* Q3 EPS C$0.73 vs C$0.18 last year * Results helped by strong U.S. dollar

* Q3 order bookings down 30.1 pct

May 19 (Reuters) - Canada’s Velan Inc VLN.TO, a maker of industrial valves, posted a four-fold jump in quarterly profit, as a strong U.S. dollar helped its North American, Korean and Portuguese operations.

However, third-quarter order bookings fell 30.1 percent. The company also expects the downward pressure on prices to continue.

“Our customers and markets have been negatively impacted by the fall in the oil price, lower commodity prices, falling demand, and the global financial crisis,” said Tom Velan, the company president.

For the third quarter, the company reported net earnings of C$16.2 million ($14.01 million), or 73 Canadian cents a share, up from C$4.1 million, or 18 Canadian cents a share, a year-earlier.

Sales rose 11.2 percent to C$130.1 million.

“We are fortunate that in this period of uncertainty, most of our plants are still operating with good order backlogs,” Tom Velan said in a statement.

The backlog increased to C$537.6 million, of which C$131.9 million is scheduled for shipment after February 2010, the company said.

Velan shares closed at C$12.40 Tuesday on the Toronto Stock Exchange. ($1=1.156 Canadian Dollar) (Reporting by R. Manikandan in Bangalore; Editing by Ratul Ray Chaudhuri)

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