Blood management solutions giant Haemonetics Corp.’s (NYSE:HAE) first quarter 2012 financials saw a slide in sales and revenue driven by the voluntary recall of its OrthoPAT autotransfusion device.
Net sales for the three months ended July 2 came in at $171 million, 4.6 percent higher than the $163 million sold during the same period last year. Haemonetics posted net profits of $17 million, or 65 cents per diluted share, a 5.4 percent decrease from the $17.9 million in profits, or 70 cents per diluted share, for its first quarter 2011.
The Braintree, Mass.-based company announced a voluntary recall of pre-2002 models of its OrthoPAT devices, which are used to recycle blood lost during surgery and in the recovery room back into a patient.
“From an earnings perspective, we simply could not overcome the headwind that the OrthoPAT recall represented in the quarter despite the relative strength of our other businesses," Haemonetics president & CEO Brian Concannon said in prepared remarks. "While the impact of these challenges will continue to present a headwind for the remainder of the fiscal year, most of this impact will be non-recurring and our actions will serve to strengthen our quality and product portfolio going forward.”
Sales for the OrthoPAT system were down 13 percent to $8 million for the quarter.
Haemonetics, which is celebrating its 40th year in business this year, came out of the gate strong on Wall Street in 2011, hitting a high-water mark of $70.20 in late April. However, shares have retreated since hitting the 52-week high and are up about 5 percent overall this year.
The blood management firm, which ranked 71st on the MassDevice Big 100 list of the world’s largest medical device companies, announced in its last financial report,Q4 2011, that it had increased profits five-fold and beat annual sales records in 2011.
Shares of Haemonetics’ stock were down 10 percent to $58.94 in afternoon trading today.
MassDevice keeps a close eye on public medical device companies, tracking their quarterly sales and earnings reports. For the most recent filings, check out our Earnings Roundup, where we collect each quarter’s reports.
Here’s a quick rundown of a few releases over the past couple days:
Dentsply posts stable growth in Q2
Dentsply International Inc. (NSDQ:XRAY) posted modest growth in sales and earnings during the three months ended June 30, 2011. The York, Pa.-based dental implant company posted sales of $609 million, an 8 percent increase over sales of $565 million during the same period last year.
Dentsply reported earnings of $74 million, or 52 cents per diluted share, a 2.6 percent increase over earnings of $72.4 million, or 49 cents per diluted share for the second quarter 2010.
LeMaitre sinks during stent-exiting second quarter
LeMaitre Vascular Inc. (NSDQ:LMAT) posted a modest increase in sales and a hard slide in earnings during the three months ended June 30. The Burlington, Mass.-based vascular implant maker reported sales of $15 million, a 7 percent increase over the $14 million for the same period last year.
LeMaitre’s earnings sank 66 percent to $520,000, or 3 cents per diluted share, compared to posted earnings of $1.5 million, or 9 cents per diluted share, during its second quarter 2010.
LeMaitre officially exited the stent graft market earlier this month, taking its ball and $1.3 million home after spiking a distribution deal with Endologix Inc. (NSDQ:ELGX) and selling a pair of brands to Duke Vascular.
Integra LifeSciences posts modest sales growth, heavy profit loss
Integra LifeSciences Holdings Corporation (NSDQ:IART) slid 95 percent in earnings during the three months ended June 30. The Plainsboro, N.J.-based spinal company reported 8 percent growth in sales to $193 million from $179 million for the same period last year.
Integra’s earnings came in at $700,000, or 2 cents per diluted share, a 95 percent slide from the $15 million, or 50 cents per diluted share, reported for Q2 2010.
Sorin strengthens earnings on lagging sales
Italian medical device maker Sorin Group SpA (BIT:SRN) managed strong second quarter earnings despite slacking sales for the three months ended June 30. The company reported $275 million in sales, a 3 percent decrease from the $283 million reported during the same period last year.
The company’s earnings leapt 54 percent to $24.5 million from $15.9 million posted in the second quarter of 2010.