C.R. Bard (NYSE:BCR) may have beaten The Street with its third-quarter results, but Wall Street investors are beating it back today, sending shares down nearly 4 percent.
The medical device maker reported its Q3 earnings and its $250 million acquisition of Medivance after the market closed yesterday. Bard posted profits of $130.1 million, or $1.46 per diluted share, on sales of $719.2 million for the three months ended Sept. 30.
That’s 2.0 percent more profit and 6.0 percent more revenues than during the same period last year, when Murray Hill, N.J.-based Bard reported profits of $127.5 million, or $1.34 diluted EPS, on sales of $678.4 million.
Sign up to get our free newsletters delivered right to your inbox
The EPS results beat Wall Street’s expectations by 2 cents when adjusted for one-time items; Bard logged adjusted EPS of $1.62, when analysts had expected earnings of $1.60 per share.
"In the face of another quarter of low procedure volumes in the United States, our product lines with recent strategic acquisitions and new product launches are growing double-digits, proving that our product leadership strategy continues to work, even in challenging economic times," chairman & CEO Timothy Ring said in prepared remarks. "We continue to prioritize our resources into markets with double-digit revenue growth opportunities, and we are confident that this approach will continue to provide favorable long-term returns to shareholders."
BCR shares were down 3.9 percent to $84.32 as of about 11:50 today.
Bard also announced its buyout of Louisville, Colo.-based Medivance Inc., which makes therapeutic hypothermia treatments. The deal is expected to close during the fourth quarter.
"This merger is a great strategic fit for Bard as Medivance’s Targeted Temperature Management product line is synergistic with our critical care sales call point, and their technology efficiently addresses a large unmet need in a market that is growing double digits," Ring noted in prepared remarks. "This acquisition represents an important building block for our critical care product offering."