CHICAGO (Reuters) ? Diversified manufacturer Ingersoll-Rand Ltd. reported a better-than-expected rise in quarterly earnings, led by strong sales of its Bobcats and other construction equipment.

The company, whose other products include ThermoKing truck refrigeration and Kryptonite bike locks, also raised the bottom end of its full-year earnings outlook but remained within the range of analysts? estimates.

Ingersoll-Rand boosted first-quarter net income by 24 percent to $223.1 million, or $1.28 a share, from $179.5 million, or $1.02 a share. On a continuing operations basis, it would have earned $232.3 million, or $1.33 a share, compared with $162.8 million, or 92 cents a share, a year ago.

Results beat analysts? estimates, which had averaged $1.14 a share for net income and $1.19 for continuing operations, according to Reuters Estimates.

?While the company is benefiting from a cyclical recovery in some of its end markets, we continue to believe the company is improving its ability to translate revenue growth into earnings growth,? wrote Andrew Casey, a Prudential Securities analyst in a research note. He maintained his ?overweight? rating and $90 price target on the company.

Ingersoll-Rand shares rose $0.64, or less than one percent, to $79.45 in morning trading on the New York Stock Exchange.

Sales increased about 16 percent to $2.46 billion from $2.12 billion. Excluding acquisitions, sales would have risen about 13 percent. About one percentage point of the growth was due to the weakness of the US dollar, Ingersoll-Rand said.

Ingersoll-Rand cited new product introductions and more efficient operations for its higher earnings. ?These results largely reflect the success of our innovations, which continue to generate market share gains in improving end markets,? said Herbert Henkel, chairman, president and chief executive officer, in a statement.

?Our first-quarter results also reflect our ability to drive continuing improvement in operating efficiencies on a global scale.?

The company?s Bobcat compact construction equipment did well in the quarter, with sales up by more than 30 percent on new product introductions, strong North American markets and higher parts and attachment shipments.

Its Club Car golf cart revenue increased 23 percent, reflecting market share gains for the Precedent golf cart and sales of a new off-road vehicle.

Ingersoll-Rand?s construction technologies group was helped by strength in the North American road repair market. The unit, which includes pavers, compactors, portable power products and general purpose construction equipment, increased its sales by 22 percent.

Sales at industrial and securities technologies each rose about 17 percent but were flat at its climate controls. Ingersoll-Rand said it expected second-quarter earnings of $1.55 to $1.65 a share, with earnings from continuing operations of $1.60 to $1.70 a share.

Analysts? estimates have averaged $1.61 a share, or $1.62 from continuing operations, according to Reuters Estimates.

It increased the lower end of its 2005 earnings outlook. The company now expects to earn between $5.55 to $5.75, with earnings from continuing operations between $5.75 to $5.95 a share.

In January, Ingersoll-Rand had forecast full-year earnings at $5.45 to $5.75 a share, with continuing operations at $5.65 to $5.95 a share. Analysts? 2005 estimates average $5.71 a share, in a range of $5.60 to $5.86. For continuing operations, the average forecast calls for $5.73 a share, in a range from $5.62 to $5.95.