Healthcare company Haemonetics Corp. (HAE) reported Monday a slight increase in fourth-quarter profit and provided guidance for fiscal 2010.
The Braintree, Massachusetts-based company's fourth quarter net income marginally increased to $13.94 million or $0.53 per share from $13.79 million or $0.52 per share in the previous year.
During the quarter, the company recorded restructuring costs of $4.36 million. Excluding restructuring charges, net income for the quarter was $16.92 million or $0.65 per share, compared to $15.33 million or $0.58 per share in the prior year.
On average, eight analysts polled by Thomson Reuters expected the company to report earnings of $0.63 per share for the quarter. Analysts' estimates typically exclude special items.
Net revenues for the quarter grew 9.8% to $152.4 million from $138.74 million in the earlier year. Five analysts had a consensus revenue estimate of $150.62 million for the quarter.
Surgical/diagnostics disposables revenue was $88 million, up 22% for the quarter, benefited from sales of the TEG Thrombelastograph Hemostasis Analyzer, which was acquired in November 2007.
Geographically, revenues from United States increased to $73.3 million from $62.73 million in the prior year. International revenues increased to $79.1 million from $76.01 million last year.
Operating expenses increased to $64.01 million from $49.83 million in the prior year. Selling, general and administrative expenses grew to $57.06 million from $44.04 million in the preceding year.
For the full fiscal year, the company's net income increased 14% to $59.3 million or $2.27 per share from $51.98 million or $1.94 per share in the previous year. Non-GAAP net income was $64.02 million or $2.45 per share, compared to $56.22 million or $2.10 per share a year ago.
Yearly net revenues grew 16% to $597.88 million from $516.44 million in the earlier year. Excluding the effects of currency, full year net revenues increased 13%.
Brian Concannon, president and chief executive officer said, "We maintained the momentum of fiscal 2008 with double digit growth and strengthened margins down the P&L, while simultaneously completing business transformation, integrating the TEG business, and expanding our blood management solutions value proposition."
Looking ahead to fiscal 2010, Haemonetics expects earnings in the range of $2.75 to $2.85 per share. The company expects revenue growth of 8% to 11% and operating income growth of 12% to 15% for the year.
Analysts expect the company to earn of $2.80 per share on revenues of $649.11 million for fiscal 2010.
Further, the company expects to generate about $60 million of free cash flow for the year and also said that its Board approved a $40 million share repurchase.
HAE is currently trading at $48.85, down $3.19 or 6.13%, on a volume of 115 thousand shares.
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