ST. LOUIS, Nov. 4 -- LaBarge Inc. today reported first-quarter 2005 revenues rose 47% year-on-year, the best quarter in the company's history.

For the quarter ended Oct. 3, LaBarge posted net sales of $43.6 million, up from $29.7 million a year ago. Net earnings from continuing operations rose 68% to $2.3 million, versus $1.4 million last year. Total net earnings grew 81%; fiscal 2004 first-quarter earnings included a net loss from discontinued operations of $102,000. The first-quarter 2005 results include net sales of $12.9 million and earnings from the company's Pittsburgh operation, acquired in February 2004.

Gross margin remained 23%. Selling and administrative expense declined as a percentage of sales to 13%, from 16% in 2004. Total debt rose to $41 million, up from $37.7 million sequentially.

The company said bookings of new business -- particularly from the defense, government systems and natural resources market sectors -- were strong during the quarter. Order backlogs were down 5% sequentially to $149.5 million.

Defense customers made up 42% of sales, industrial 20%, natural resources 19%. The remaining 19% came from commercial aerospace and government systems, among other sectors.

The company guided for second-quarter sales and earnings substantially higher than last year and slightly higher than the first quarter.