April 29 (Reuters) - Water technology firm Xylem XYL.N on Tuesday raised its annual revenue forecast, after beating sales estimates for some of its key equipment used for water treatment.

The company, which provides water sanitation and related services to utilities, expects its 2025 revenue to be in the range of $8.7 billion to $8.8 billion, compared with a prior view of $8.6 billion to $8.7 billion.

Analysts on average were estimating annual revenue of $8.74 billion, according to data compiled by LSEG.

Xylem expects its sales volumes to be resilient despite the escalating U.S.-China trade war, citing "the essential nature of our customers' services".

The company, which generated about 43% of its sales from outside the U.S. last year, imports components from countries such as Mexico, Canada and China, making its global supply chain vulnerable to President Donald Trump's tariffs.

However, Xylem said it will counter potential tariff impacts through "strategic pricing and proactive supply chain management."

The company reported quarterly sales of $581 million at its water infrastructure unit, which includes products such as water and wastewater pumps, beating estimates of $576.31 million.

Sales at its applied water unit, which sells pumps, valves and other equipment, came in at $435 million for the quarter, topping expectations of $427.62 million.

The company's first-quarter revenue stood at $2.1 billion, compared with estimates of $2.04 billion.

Its quarterly profit was $1.03 per share on an adjusted basis, surpassing estimates of 95 cents per share.

Xylem reaffirmed its annual profit forecast of $4.50 to $4.70 per share.

(Reporting by Padmanabhan Ananthan in Bengaluru; Editing by Shreya Biswas)

((Padmanabhan.Ananthan@thomsonreuters.com;))