Teleflex (NYSE:TFX) shares gained 2.3% yesterday, despite a 3rd-quarter profit slide of more than 50%, as investors discounted the impact of an acquisition and the sale of the medical device company’s orthopedic OEM business.
Teleflex reported profits of 21.7 million, or 52¢ per share, on sales of $368.1 million during the 3 months ended Sept. 30, for a top-line increase of 1.5%.
Excluding the effects of Teleflex’s $276 million buyout of laryngeal mask maker LMA and the $42.5 million sale of the OEM business, adjusted EPS reached $1.04, ahead of analysts’ expectations of 86¢ apiece.
"With nine months of 2012, and the completion of the LMA acquisition behind us, we are updating our guidance ranges for constant currency revenue growth and adjusted earnings per share. We now expect to generate constant currency revenue growth of between 6% and 7%, and adjusted earnings per share of between $4.35 and $4.40. We believe we are building momentum for a solid finish to 2012 and into 2013 and beyond," chairman, president & CEO Benson Smith said in prepared remarks.
Teleflex’s prior guidance was for adjusted EPS of $4.25 to $4.45.