Shares of Limerick, Pa.-based medical device maker Teleflex (NYSE:TFX) held steady today after the company posted a modest dip in profits amid a strong boost in sales for its 2nd quarter 2013.
Teleflex posted $42.4 million in earnings, or 98¢ per share, on sales of $420.1 million during the 3 months ended June 30, 2013. That compared with $42.6 million earned, or $1.04 per share, on sales of $383.3 million during the same period last year.
The company managed strong revenue despite a difficult trends in utilization, and although lowering its sales growth expectations, Teleflex maintained its per-share earnings range for the year.
"During the second quarter, Teleflex continued to make progress on its operating initiatives despite declining utilization rates," chairman, president & CEO Benson Smith said in prepared remarks. "However, because of persisting negative utilization and physician visit trends, we are lowering the top and bottom end of our full year 2013 constant currency revenue growth expectations to now be between 10% to 12%. Despite the slight reduction in revenue growth expectations, I am pleased to announce that through cost reduction efforts and favorable product mix, we are reaffirming our previously provided adjusted earnings per share range of between $4.70 to $4.90 per share."
Adjusted to exclude 1-time costs, Teleflex’s per-share earnings came to $1.27, beating analysts’ consensus estimate by 11¢. TFX shares didn’t move much today, up just about 0.1% to $79.26 around midday yesterday.
Teleflex has made some M&A moves in recent months, including the purchase of LMA International, its 2nd airway management buy in as many years. LMA’s international business was a primary driver of growth for Teleflex’s anesthesia products sales, according to the company’s financial statements.
