AngioDynamics (NSDQ:ANGO) reported a weak 1st quarter, seeing shrinking revenue and earnings that missed the street’s expectations.
Angiodynamics reported losses of $757,000, or 2¢ per share, on sales of $83.7 million for the 3 months ended August 31. That amounts to a 261% slide on the bottom-line with sales shrinking 4.2% compared with the same period last year.
Adjusted to exclude 1-time items, earnings per share were 11¢; Analysts on Wall Street were looking for an adjusted EPS of 16¢. Angiodynamics missed the street’s prediction for revenue of $92 million by $8.3 million.
Shares slid in response, dropping 9.15% to $11.91 as of 11:26 a.m. EDT.
“Today, we reported the 1st of 2 quarters in the 2016 fiscal year where we anticipated negative year-over-year revenue growth due to tough comparisons to the prior year brought on by fiscal 2015’s voluntary withdrawal of our Morpheus PICC line and foreign currency headwinds. We expected this, managed the business effectively and as a result, our 1st quarter net sales were within our guidance, adjusted EPS met consensus expectations and cash flow was strong. We also expected to generate growth from our 4 key drivers, and did,” CEO Joseph DeVivo said in an SEC filing.
Despite the sliding revenue and profits, AngioDynamics reiterated its fiscal year 2016 guidance of $364 to $370 million and adjusted earnings per share of 62¢ to 66¢.
“We are anticipating revenue to range from $87 million to $91 million in the fiscal 2nd quarter, reflecting tough comparables due to the foreign currency and Morpheus headwinds. As previously stated, we are expecting to move beyond these challenges after the fiscal 2nd quarter. Additionally, we are guiding adjusted EPS without amortization to be in the range of $0.13 to $0.15,” CFO Mark Frost said in prepared remarks.