By The Canadian Press

CALGARY - Industrial contractor The Churchill Corp. TSX:CUQ) reported an improvement in third-quarter earnings Thursday despite a big drop in contract revenue.

The Calgary-based company with operations in Western Canada, Ontario and the Northwest Territories said net income, including earnings from discontinued operations, was $15.2 million or 86 cents a share in the quarter.

That compared with $11.2 million or 62 cents in the prior-year period.

Contract revenue was $161.5 million, down sharply from $216.2 million last year.

The company blamed "weaker industrial market conditions" and their "cumulative effect of delays in project starts" for the decline.

Churchill shares were up 54 cents at $17.74 in afternoon trading on the Toronto Stock Exchange.