Costa Mesa-based Ceradyne Inc., a maker of ceramics for bulletproof vests and industrial uses, beat Wall Street estimates with second-quarter results and upped its outlook for the rest of the year.
Ceradyne reported an adjusted profit of $5.8 million, compared to a loss a year earlier and topping the $5.3 million profit expected on average by analysts.
The company saw second-quarter sales of $100.4 million, up 5.4% from a year earlier and topping the $99.7 million expected by analysts.
The results reflect an ongoing diversification at Ceradyne, according to Chief Executive Joel Moskowitz.
The company is seeing an ongoing decline in business with the Pentagon, which turned to Ceradyne for soldier armor during the height of fighting in Iraq and Afghanistan.
In recent years, Ceradyne has diversified into products for solar power and nuclear energy to offset the slowdown in military gear.
Defense revenue made up about a third of Ceradyne’s revenue in the quarter, down from about half a year earlier.
The company upped its outlook for the rest of the year.
It now forecasts an adjusted profit of $20.4 million to $29.8 million, up from a prior outlook of $15 million to $26.5 million.
Ceradyne is now forecasting 2010 revenue of $400 million to $430 million, up from $380 million to $430 million.
