DUBLIN-BASED clinical research group Icon reported a 46 per cent rise in operating income to $21.5 million for the first quarter of 2008.

Net profits at the company in the first three months rose by $4.6 million to $16.89 million as first-quarter net revenues jumped by 48 per cent to $201.3 million.

Diluted earnings per share were 56 US cents, up 33 per cent from 42 cents per share last year.

Icon chairman Dr John Climax said the company was raising its 2008 revenue and EPS guidance.

"It has been an excellent start to 2008. Both revenue and operating income showed substantial growth. Business wins were again strong, with $369 million of net business awarded in the quarter.

"Accordingly, we are raising our 2008 guidance for revenue and EPS to $840 million-$860 million and $2.35-$2.45 respectively."

Operating expenses in the first quarter amounted to $12.3 million, and capital expenditure was $16.5 million.

In February Icon completed the acquisition of San Antonio, Texas-based HCD for a net consideration of $11 million. As a result, the company's net debt amounted to $20.2 million at March 31st last compared to net cash and short-term investments of $23.8 million at the end of 2007.

In a note, Goodbody analyst Ian Hunter said the broker would hold its full-year earnings projections, but raise its full-year revenue projections by around 2 per cent based on the first-quarter results.