Braintree, Mass.-based Haemonetics missed per-share analyst estimates by 1 penny and posted a nearly full reversal of the profits reported for this quarter last year, despite a 24% jump in sales. Wall Street responded by sending shares down nearly 9% by about 12:30 p.m. today.
The blood collection device maker posted 1st-quarter 2014 losses of $7.9 million, or 15¢ per share, on sales of $219.5 million. That compared with Q1 2013 profits of $9.8 million, or 19¢ per diluted share, on sales of $176.5 million.
Excluding 1-time costs, per-share earning amounted to 46¢, a 48.4% bump from last year’s 31¢ adjusted EPS but still a penny shy of Wall Street’s consensus estimate.
"We expected 1st quarter revenue to be light due to order timing, currency headwinds, the loss of a large European whole blood customer, and the conversion of our distributor business in Australia and New Zealand to selling direct," said CEO Brian Concannon in prepared remarks. "However, lower than expected surgical blood use and resulting lower blood collections, both reduced revenue further. Blood management is driving these trends and, as the leader in providing blood management solutions, our focus is on continuing to capture share as this market transforms."
The company adjusted its 2014 full year guidance to reflect weak market conditions, pushing ranges down 2 percentage points below original estimates. Updated overall growth is pegged at 3-5%, or a per share range of $2.30-$2.40.