VCA Maintains FY16 Forecast; Q3 Results Up, But Miss Estimates - Quick Facts

(RTTNews) - VCA Inc. (WOOF), an animal healthcare company, on Wednesday maintained its fiscal 2016 forecast. The third-quarter profit and revenues increased from last year, but were below analysts' estimates.

The company continues to expect net income to be $210 million to $218 million, earnings per share of $2.57 to $2.67, adjusted earnings per share of $2.87 to $2.97 and revenues of $2.52 billion to $2.54 billion.

On average, analysts polled by Thomson Reuters expect earnings of $2.94 per share on revenues of $2.53 billion for the year. Analysts' estimates typically exclude special items. Bob Antin, Chairman and CEO, said, "We continue to experience healthy organic revenue growth and increasing gross margins in both our core Animal Hospital and Laboratory businesses. Given our results relative to our expectations and our future acquisition pipeline, we remain optimistic with respect to our results for the full year ended December 31, 2016."

In its third quarter, attributable net income increased 6.2% to $58.2 million from $54.85 million last year. Earnings per share increased 6% to $0.71 from $0.67 a year ago.

Adjusted net income was $64.35 million or $0.79 per share, compared to $55.64 million or $0.68 per share a year ago.

Revenue increased 19.1% to a third quarter record of $656.85 million from $551.72 million a year ago.

Analysts expected earnings of $0.81 per share on revenues of $668.35 million for the quarter.