Cardinal Health ’ s fiscal Q3 earnings top forecast, but sales miss the mark

Fiscal 3rd-quarter earnings for Cardinal Health (NYSE:CAH) came in ahead of the consensus estimate on Wall Street, but the top line missed expectations by nearly $500 million. The Dublin, Ohio-based company posted profits of $381 million, or $1.20 per share, on sales of $31.82 billion for the 3 months ended March 31, for a bottom-line slide of-1.3% on sales growth of 3.8% compared with Q3 2016. Adjusted to exclude 1-time items, earnings per share were $1.53, 7¢ ahead of the consensus on The Street. But analysts there were looking for sales of $32.30 billion. CAH shares were down -1.0% to $71.85 apiece today in mid-morning activity. “The 3rd quarter came in largely as we expected, in a dynamic market environment, as we noted a few weeks ago,” chairman & CEO George Barrett said in prepared remarks. “Many of our lines of business continue to perform well, particularly naviHealth, our medical/surgical consumables lines, and our specialty solutions group. We are also extremely excited about our recent announcement to acquire Medtronic’s patient care, deep vein thrombosis and nutritional insufficiency businesses. These product lines are natural extensions to the work that we’re doing across the continuum of care from acute care, to surgery centers, to long-term care, into the retail setting and even to the consumer.” Cardinal Health said its medical segment put up profits of $148 million, a 16% increase, on 9% sales growth to $3.4 billi...
Source: Mass Device - Category: Medical Equipment Authors: Tags: MassDevice Earnings Roundup Wall Street Beat Cardinal Health Source Type: news