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Tyco's net income falls by nearly half

NEUHAUSEN, Switzerland (AP) -- Tyco International's adjusted net income topped Wall Street expectations Friday, the first third-quarter financial report since the company split into three separate entities last year.

Tyco earned $189 million from those operations last year, so net income fell by nearly half in comparison.

The Swiss security and fire detection systems company reported earnings of $135 million, or 28 cents per share, in the quarter ending June 28. That's down from $246 million, or 52 cents per share, in the same quarter a year ago.

Not counting restructuring, acquisition and other items, adjusted earnings totaled 50 cents per share in the third quarter. That's above the 48 cents per share that analysts expected, according to financial information company FactSet.

Third-quarter revenue rose less than 1 percent to $2.68 billion from $2.65 billion a year ago. That's slightly below the $2.71 billion analysts were expecting, according to FactSet.

The company split into three publicly traded companies last September, covering its ADT North America residential security business, flow control products and commercial fire equipment businesses.

In June, Tyco announced that it reached a deal to buy Exacq Technologies, which develops video management systems for security and surveillance uses, for $150 million in cash.

Revenue at its North America systems installation and services business fell 4 percent to $966 million in the third quarter from $1 billion in the same quarter a year ago. In the rest of the world, that business unit's revenue rose 2 percent to $1.11 billion from $1.08 billion. Revenue at its global products business rose 7 percent to $600 million from $563 million.

Tyco shares fell less that 1 percent to $34.90 in midday trading. The decline was in line with all major U.S. markets Friday.