Haemonetics Q3 Profit Increases - Quick Facts

(RTTNews) - Haemonetics Corp. (HAE) reported that its third-quarter of fiscal 2014 net income increased to $16.29 million or $0.31 per share, from $9.90 million or $0.19 per share in third-quarter of fiscal 2013.

Adjusted net income for the quarter was $32.12 million, up from last year's $ 30.62 million. Adjusted earnings per share improved to $0.61, from $0.58 in the prior year.

Non-GAAP net per share at-constant currency was $0.53, compared to $0.48 in the same quarter last year. Analysts polled by Thomson Reuters expected the company to report earnings of $0.60 per share for the quarter. Analysts' estimates typically exclude special items.

In total $18 million of charges, comprised of the $14 million of VCC transformation and $4 million of integration and other activities, were excluded from adjusted earnings in the third quarter of fiscal 2014. The company excluded $25 million of pre-tax restructuring, transformation and transaction costs from adjusted earnings in the third quarter of fiscal 2013.

The Company also excluded acquisition related amortization expenses from its adjusted earnings and earnings per share, beginning in fiscal 2014, and prior period amounts have been conformed to permit comparison. Excluded from third quarter adjusted earnings were $7.4 million in fiscal 2014 and $6.2 million in fiscal 2013, or $0.10 and $0.08 per share, respectively.

Revenues for the quarter declined 2% to $242.12 million from $247.40 million in the prior year quarter. Nine analysts had consensus revenue estimate of $243.77 million for the quarter.

The company's base revenue, exclusive of the recently-acquired whole blood business, increased 1% in the third quarter and increased 4% on a constant currency basis. Excluding currency impact, net revenue was flat in the quarter.

Overall fiscal 2014 organic revenue is still expected to grow 2-4% in constant currency and 0-2% on a reported basis, which includes the impact of Yen weakness upon expected Japanese revenue. Whole blood revenue is still expected to be approximately $190 million for fiscal 2014, reflecting an expectation for reduced collections in the near term. Thus, the previous estimate of total revenue growth in the range of 5-7% is affirmed.

Adjusted earnings per share, excluding acquisition related amortization, are reaffirmed with a bias toward the lower end of the previously-provided range of $2.30 to $2.40, up approximately 15-20% over fiscal 2013 presented on a consistent basis.

Street currently is looking for fiscal year 2014 earnings of $2.35 per share on annual revenues of $946.01 million.