Sorin Group (BIT:SRN) said its profits surged during the 4th quarter and 2013, saying it’s successfully recovered from a pair of earthquake in Italy that damaged 1 of its plants.
The Italian medical device company posted adjusted profits of roughly $27.4 million (€20.1 million) on sales of $261.1 million (€191.8 million) for the 3 months ended Dec. 31, 2013, for adjusted bottom-line growth of 77.9% compared with Q4 2013.
Full-year profits were about $67.9 million (€49.9 million) on sales of $1.01 billion (€738.5 million), representing a profit gain of 110.5% on sales growth of 1.0% compared with 2012. Adjusted profits grew 40.4% to $80.5 million (€59.1 million).
"In 2013 Sorin Group successfully recovered from the consequences of the earthquakes, reported results in line with guidance and generated a robust cash flow," CEO André-Michel Ballester said in prepared remarks. "Notwithstanding the anticipated adverse foreign-exchange impact, the company is well positioned to drive top-line growth in 2014 across a variety of new products and geographies as well as to continue sustaining its longer-term growth strategy with further geographic expansion initiatives and investments in innovation."
Sorin said it expects to post adjusted profits of $74.9 million to $81.7 million (€55 million to €60 million), or 16¢-17¢ (€0.115-€0.125) on sales growth of 3%-5%. First-quarter sales are expected to grow 0%-2%, according to a press release.
The temblors killed at least 27 people in May 2012. The first, rated at 6.1 on the Richter scale, struck May 20, with a pair of 5.2-magnitude aftershocks following 1st an hour later and then 11 hours after the first quake. Another 5.8-magnitude temblor hit May 29, causing widespread damage, especially to infrastructure that was already crippled during the first quake. The death toll from the second quake reached 20 people. Although no Sorin workers were hurt, its plant in Mirandola, 1 of 2 in Italy and 7 worldwide, was damaged. The plant makes oxygenators and disposable autotransfusion kits.
