NEW YORK (Bloomberg) - Foster Wheeler Ltd., the Hamilton, Bermuda-based designer of oil refineries, said first-quarter profit rose 20 percent on demand from energy companies for engineering and construction services.

Net income climbed to $138.1 million, or 95 cents a share, from $114.8 million, or 80 cents, a year earlier, the company said in a statement. Profit topped analysts' estimates. Operating revenue surged 56 percent to $1.8 billion.

Foster Wheeler benefited as oil and gas producers built or expanded plants to meet growing energy demand. During the quarter the company won design and construction contracts for a natural gas pipeline project in Mozambique, an oil refinery unit in Spain and a natural gas processor in Italy.

"Foster Wheeler's end markets still seem very strong, particularly in liquid-natural gas and refining," Andy Kaplowitz, an analyst with Lehman Brothers in New York, wrote in an April 15 note. He has an "overweight" rating on the stock.

Excluding a $14.2 million gain relating to asbestos claims, the company earned 85 cents a share. The average of five analyst estimates compiled by Bloomberg was for profit of 73 cents and sales of $1.44 billion. The company completed a two-for-one stock split in January.

Foster Wheeler, which operates from Clinton, New Jersey, rose as much as 2.5 percent in early US trading. The shares gained $1.75 to $66.38 yesterday in New York Stock Exchange composite trading. They have added 85 percent in the past year.

Operating revenue in the engineering and construction unit rose 69 percent to $1.39 billion, and sales in the power group climbed 23 percent to $404.7 million. The total backlog rose 57 percent to $8.95 billion, while new orders fell 12 percent to $1.24 billion.