Roper Industries Inc. (ROP) reported that its second-quarter net earnings increased to $114.81 million or $1.15 per share, from $106.31 million or $1.08 per share in the same quarter last year. Analysts polled by Thomson Reuters expected the company to report earnings of $1.15 per share for the quarter. Analysts' estimates typically exclude special items.
Net sales for the quarter rose to $724.87 million from $699.87 million in the prior year quarter. Six analysts had consensus revenue estimate of $746.97 million for the quarter.
The company raised its full year 2012 adjusted earnings per share guidance to $4.84 - $5.00 from $4.75 - $4.91, reflecting a ($0.04) reduction due to currency and $0.12 - $0.14 accretion from the acquisition of Sunquest. Analysts expect the company to report earnings of $4.83 per share for fiscal 2012.
In a separate press release, Roper Industries announced that it has entered into a definitive agreement to acquire Sunquest Information Systems, Inc., a provider of diagnostic and laboratory software solutions to healthcare providers, in an all cash transaction valued at $1.415 billion, including $25 million in cash tax benefits.
The company expects the acquisition of Sunquest to be immediately cash accretive and to generate $140 million or more of EBITDA in 2013, excluding the impact of fair value accounting of Sunquest's deferred revenue.
The company said it expects to complete the transaction within 30 days. The transaction is subject to Hart-Scott-Rodino approval and customary closing conditions.
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