Abiomed (NSDQ:ABMD) took a hit on Wall Street yesterday, with shares down nearly a dollar by the end of the day after the company posted its Q1 2014 financials in red ink.
The healthcare giant missed Wall Street analysts’ consensus estimate by 10¢ and swung to a loss during the 3 months ended June 30, 2013. Analysts were expecting to see 6¢ per share, but Abiomed posted a 4¢ loss, a hard switch from 8¢ in diluted EPS reported for the same quarter in 2012.
Despite a 10% increase in sales, the bottom line swung deep to a loss of more than $1.7 million for the quarter, compared with profits of $3.1 million reported during the same period last year. Sales amounted to $42.7 million, compared with $10.8 million last year.
The company affirmed its 2014 full-year guidance of $180 million to $185 million, expecting a 20% increase in worldwide sales of Impella, the company’s star heart pump device.
The company earnings report touted recent successes with Impella, including the dropped derivative lawsuit that was filed earlier this year, and the recent FDA’s pre-market approval of a "shell" modular view technology for the Impella system.
"Our momentum continued to grow in spite of the recent challenges," said CEO Mike Minogue in the investor conference call. That did little to assuage Wall Street, where ABMD shares dropped 6.4% initially, from $25.10 to $23.45, and leveled off to close at $24.15, a 3.7% drop on the day.
