Owens & Minor (NYSE:OMI) today reported third-quarter profits that beat the consensus forecast on Wall Street, but revenues were down year-over-year.
The Mechanicsville, Va.-based healthcare logistics and medical supplies company reported profits of $1.2 million, or 2¢ per share, on sales of $2.40 billion for the three months ended Sept. 30, 2019, versus a loss of -$565,000, or -1¢ off $2.46 billion in sales in Q3 2018.
Adjusted to exclude one-time items, earnings per share were 20¢, a penny ahead of The Street, where analysts were looking EPS of 19¢ on sales of $2.45 billion.
“Our third-quarter results show back-to-back quarters of sequential growth in operating income and EPS, expansion of quarterly operating cash flow, additional reduction in working capital and an increased pace of debt paydown,” Owens & Minor CEO Edward A. Pesicka said in a news release.
Pesicka touted the best service metric for the company in years.
“The strong performance and consistency of our service gives us confidence that many of the past service issues have been resolved, however we will continue to drive additional initiatives to further improve and provide innovative services,” said Pesicka, who acknowledged that the company has a significant amount of work ahead.
“We will not take our customers for granted and will continue to provide a high level of customer focus while maintaining industry-leading integrity,” Pesicka said.
Owens & Minor narrowed its full-year 2019 earnings outlook to 60¢ to 65¢, excluding the impact of currency and the company’s Fusion5 early-stage value-based care management business. The previous range was 60¢ to 70¢.
Investors reacted by sending OMI shares up about 1%, to $6.53 per share, in morning trading today.