LCBM opened with an UG after reporting 1stQ results yesterday.
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Revenues & earnings have been better for the last 4Qs, but it said the 2ndQ results may not be as good, because of option expenses & increasing tax rate.<g>
Lifecore Biomedical Reports Results for First Quarter Ended September 30, 2007
Tuesday October 16, 4:00 pm ET
Maintains FY 2008 Guidance
CHASKA, Minn.--(BUSINESS WIRE)--LIFECORE BIOMEDICAL, INC. (Nasdaq:LCBM - News) today reported net sales of $15.7 million in the first quarter ended September 30, 2007, an increase of 5 percent over net sales of $15.0 million in the first quarter of fiscal year 2007.
Foreign currency translation comparisons increased current quarter sales by $184,000 compared to the first quarter of last fiscal year.
Net income of $1,263,000, or $.09 per diluted share, was posted for the quarter compared to net income of $1,139,000, or $.08 per diluted share, in the quarter ended September 30, 2006.
Income tax expense was recorded for the first quarter at an annual effective rate of 39.0% compared to an effective rate of 38.5% in the first quarter a year ago.
"Profits for the quarter were at the high-end of our guidance, although sales were slightly below," said Dennis J. Allingham, President and CEO. "The results reflect our focus towards strengthening our Dental sales performance, while driving the continued operating efficiency from the Hyaluronan Division."
The Company reported a cash and cash equivalents balance of $39.6 million at September 30, 2007. Cash effects associated with the income tax expenses reflected in the first quarter operating results were minimal due to the utilization of the net operating loss carry forwards.
Hyaluronan Division
Net sales from the Hyaluronan Division for the first quarter were $4.8 million; comparable to the sales reported in the same quarter last year.
The Division reported operating income of $943,000 in the first quarter compared to operating income of $996,000 in the first quarter of fiscal year 2007. The slight decline resulted from additional costs associated with product development.
"Higher sales to orthopedic customers and increased revenues from product development were partially offset by lower sales to ophthalmic customers," said Dennis J. Allingham, President & CEO.
"We are proceeding with our program to develop the Cleveland Clinic technology for long-term growth, while driving other development opportunities in existing segments as the interim growth vehicle."
Dental Division
Net sales from the Dental Division for the first quarter were $10.8 million, an increase of 6% from the $10.2 million recorded in the first quarter last year.
Foreign currency translation comparisons increased first quarter sales by $184,000. Domestic sales grew 9% for the quarter. Variability in distributor purchasing patterns resulted in little International sales growth for the quarter.
The Division reported operating income of $614,000 for the first quarter compared to operating income of $510,000 in the first quarter of fiscal year 2007.
"Sales of the Prima(TM) Implant System continued to drive sales growth with a significant 70% increase from the first quarter a year ago," said Dennis J. Allingham, President & CEO.
"Overall, we were pleased to see that actions taken improved the rate of sales growth, when compared to the fourth quarter of last fiscal year, particularly domestic sales. We expect to build on this momentum with the introduction of our Prima Ceramic abutment system, which was just cleared for the US market."
Outlook
The Company is maintaining its guidance and expects fiscal year 2008 sales of $76.5 to $78.5 million, an increase of 10 to 13 percent over fiscal year 2007. Earnings per diluted share of $.56 to $.60 are expected.
The Company expects sales of $18.0 to $18.5 million in the second quarter of fiscal year 2008 with earnings per diluted share of $.10 to $.12. This guidance reflects an annual effective tax rate of 39.0% and stock option expense of $266,000.
Snip
LCBM has a good amount of resistance at the $15 level. It doesn't have significant LTD.
The all time H in Dec 1997 was 26.<g>
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Bernard |
