NEW YORK (Bloomberg) — Ingersoll-Rand Co., the refrigeration-equipment maker that's buying Trane Inc., said first-quarter profit rose 35 percent, topping analysts' estimates on overseas sales of chilled trucks and display cases.

Profit from continuing operations increased to $211.7 million, or 77 cents a share, from $156.6 million, or 50 cents, a year earlier. Sales rose 9.5 percent to $2.16 billion, the Bermuda-based company yesterday said in a statement.

Sales increased at least seven percent in all of Ingersoll-Rand's divisions and as international revenue rose 21 percent. Demand for refrigerated trailers and trucks in Europe countered a drop in North America, while sales of industrial tools and air compressors gained in emerging markets such as India.

Revenue from security products, including Schlage locks, rose on domestic commercial construction and overseas demand.

"The operating performance of the Ingersoll-Rand segments was slightly better than we anticipated," Ann Duignan, an analyst with Bear Stearns & Co. in New York, wrote in a note. She has an "outperform" rating on the stock. "Given the headwinds in US construction, security technologies delivered a strong performance."

Including costs relating to the divestiture of the compact equipment business, net income fell 17 percent to $181.6 million, or 66 cents, from $217.5 million, or 70 cents, a year earlier. The average of 13 analyst estimates compiled by Bloomberg was for profit from continuing operations of 73 cents a share. Analysts projected sales of $2.12 billion.

The maker of Thermo King and Hussmann refrigerated units forecast second-quarter earnings from continuing operations of 85 cents to 90 cents.

Analysts, on average, expect 91 cents. Sales are predicted to grow five to six percent.

The company reaffirmed its full-year profit forecast of $3.80 to $3.90 a share including gains from the Trane acquisition. Charges related to the purchase may reach 30 cents to 45 cents a share. Analysts project profit of $3.70 a share.

Sales of refrigerated units rose 9.5 percent to $798.4 million on demand for trailer and truck equipment in Europe and global orders for sea-going containers. Air compressor and tool revenue climbed 11 percent to $743.4 million on sales to Europe, Asia and India.

Security system and lock sales gained 7.2 percent to $621.5 million as construction outside North America countered slowing sales tied to the US housing slump.

Chief Executive Officer Herb Henkel is expanding Ingersoll-Rand's industrial products and moving away from construction machinery.

He agreed in December to buy Trane, a maker of air conditioners, in a $9.95 billion transaction that the companies expect to close this quarter. Ingersoll-Rand last year sold its Bobcat equipment business to South Korea's Doosan Infracore Co. and its road-building unit to Volvo AB.

The Piscataway, New Jersey-based company forecast 2008 sales growth of four to five percent, one percentage point below a previous projection.