Hologic (NSDQ:HOLX) announced fiscal 3rd-quarter results today that soundly beat Wall Street’s expectations, and raised its outlook for the rest of the year.
Bedford, Mass.-based Hologic reported profits of $29.4 million, or 10¢ per share, on sales of $693 million for the 3 months ended June 27. That’s a bottom-line gain of 160.2% on sales growth of 9.37%, compared with Q3 2014.
Adjusted to exclude 1-time items, earnings per share were 43¢, beating The Street’s consensus forecast by 3¢ and Hologic soundly beat analysts’ sales forecast by nearly $40 million.
The good news sent shares up 9.86% to $41.78 in early trading.
“Our 3rd-quarter financial results demonstrate the significant progress we have made in building a company that can grow sustainably on both the top and bottom lines. Growth was led by accelerated adoption of our Genius 3D mammography systems, but our diagnostics and surgical businesses also showed broad-based strength. While we are proud of our accomplishments to date, we also believe we have multiple growth opportunities still ahead of us,” CEO Steve MacMillan said in a press release.
Hologic raised its guidance for the year, boosting EPS guidance from $1.57 – $1.59 to $1.65 – $1.66 and lifting its revenue outlook from between $2.6 billion and $2.62 billion to $2.69 billion to $2.7 billion. It’s the 2nd time this year the company has upped guidance, signaling that a MacMillan-led turnaround is gaining steam.
“HOLX should continue to benefit in the years ahead from ongoing commercial/leadership changes across the U.S. businesses,” Leerink Partners analyst Danielle Antalffy wrote. “Meanwhile, two addt’l areas where the company is still in the very early innings should provide a ‘next leg of growth’ over time include: (1) International – where new leadership is currently being assembled, and (2) R&D/pipeline investments. Both areas have potential to yield meaningful payoff in the out-years.”