The Pleasanton, Calif.-based company posted a net loss of -$2.6 million, or -8¢ per share, on sales of $130.7 million for the 3 months ended June 30, for sales growth of 7% compared with the same period last year.
Adjusted to exclude 1-time items, earnings per share were 35¢, ahead of consensus on The Street, where analysts were looking for sales of $130.5 million.
“Our non-GAAP earnings per share considerably exceeded our guidance at 35 cents. Our improved margins reflect strength in our neuro business where organic revenue grew 2% in the quarter. The quarter’s results also reflect meaningful progress in the integration of Otometrics and solid profitability from our newborn care business,” president & CEO Jonathan Kennedy said in prepared remarks.
Natus Medical said it expects to post adjusted EPS of $1.50 to $1.60 on sales of $525 million to $535 million for the full year. Previously, the company pegged its revenue guidance between $535 million and $540 million with adjusted EPS of $1.60 to $1.65.
“Our updated outlook reflects our assessment of the effects of potentially shifting seasonality and global trade uncertainty, which affects our visibility into second half results,” Kennedy added.
BABY shares were trading at $35.15 apiece today in mid-afternoon trading, up 10.5%.