Fiscal first-quarter earnings for Cantel Medical (NYSE:CMD) equaled the consensus forecast on Wall Street, but the medical device company miss the mark with its top-line number.
Little Falls, N.J.-based Cantel posted profits of $19.2 million, or 46¢ per share, on sales of $225.6 million for the three months ended Oct. 31, for a bottom-line slide of -16.1% on sales growth of 6.0% compared with fiscal Q1 2018.
Adjusted to exclude one-time items, earnings per share were 62¢ per share, dead even with The Street, where analysts were looking for revenues of $228.2 million.
“We are pleased to report good sales and non-GAAP earnings performance this quarter, and a return to strong growth in our medical segment. Our 6.0% reported sales increase was driven by organic growth of 4.3%, the impact from acquisitions of 2.3%, and an unfavorable impact from foreign currency of 0.6%. We continue to perform well internationally where sales were up 9.3% overall, and our US business had a solid quarter with 5.0% growth,” president & CEO Jørgen Hansen said in prepared remarks. “Our medical division had a great quarter, with double-digit growth in all regions and U.S. capital sales that returned to solid growth compared to the prior year. Our life sciences and dental businesses started the year softer than anticipated mostly due to the timing of orders, however we expect both segments to accelerate throughout the remainder of the year.”
Hansen said Cantel stood by its prior forecast for adjusted EPS of $2.57 to $2.62 on sales growth of 6.5% to 7.5% for the full fiscal year. The company has said it aims to reach the $1.3 billion sales mark in fiscal 2021, when it hopes to pull down $150 million in adjusted net income.
CMD shares closed up 2.3% at $90.43 apiece yesterday.