By John Byczkowski and James McNair
Enquirer staff writers

Higher gasoline prices helped Covington-based Ashland Inc. double its profits this spring compared to a year ago, the company reported Monday.

Ashland reported net income of $161 million, or $2.26 per share, on revenues of nearly $2.2 billion in its fiscal third quarter, ended June 30. That compares to $70 million, or $1.01 per share, earned on revenues of $2.0 billion in the same quarter last year.

Of $292 million profit before taxes, more than two-thirds of it came from Marathon Ashland Petroleum (MAP), a gasoline refining and marketing joint venture with Marathon Oil. Ashland said high gasoline demand, coupled with higher prices and greater efficiencies at the refineries, helped boost operating earnings to $205 million in the third quarter, up from $100 million a year earlier.

Ashland has agreed to sell its stake in MAP to Marathon for $3 billion. The deal could close later this year.

Beyond gasoline, Ashland saw strong results in other businesses. Its chemicals and plastics distribution had a record quarter, and its Valvoline lubricants business also saw a 25 percent increase in operating profits.

Ashland stock closed Monday at $52.08, up 4 cents per share, on heavy volume.

In other earnings news:

Alderwoods Group

Shares of Alderwoods Group slumped 15 percent Monday after the company reported a $6.5 million loss for the three months ended June 19.

The nation's second-biggest operator of funeral homes and cemeteries blamed the second-quarter loss on a 4.6 percent decline in funerals performed. The company performed 1,302 fewer funerals than it did in the same quarter in 2003.

A year ago, Alderwoods posted a profit of $6.9 million. Revenue, nearly two-thirds of which is derived from funerals, fell 1.5 percent to $164.1 million. The company said it closed five locations last quarter and sold one funeral operation and eight cemeteries for a gain of $900,000.

Alderwoods shares closed at $9.75, down $1.75.

NS Group

Newport steel maker NS Group Inc. reported record profits in its spring quarter Monday, but Wall Street had expected more, and the company's stock fell 9 percent.

For its second quarter, Newport-based NS Group earned 96 cents a share, less than the $1.04 analysts had expected. The stock closed at $16.18 Monday, down $1.61.

The company, which makes steel pipe for the oil and natural gas industries, earned $20.6 million on revenue of $109 million in the quarter ended June 30. A year earlier, the company lost $7.4 million on sales of $65 million.

CEO Rene Robichaud said with prices for oil and natural gas high, "overall demand for our energy products is good and pricing is strong." Profits should remain strong the rest of the year, he said.

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E-mail johnb@enquirer.com or jmcnair@enquirer.com