Bard sees shares rise on Q1 beat

C.R. Bard (NYSE:BCR) today released its 1st quarter earnings, handily topping the Street’s expectations for revenue and earnings per share and seeing shares rise in after hours trading.

The company reported profits of $116.2 million, or $1.54 per share, on sales of $873.5 million for the 3 months ended March 31, 2016. That amounts to a 16.9% slide on the bottom line as sales grew 6.6% compared with the same quarter in 2015.

After adjusting to exclude 1-time items, earnings per share were $2.34. Analysts on Wall Street were looking for revenue of $836.2 million and earnings per share of $2.17, which Bard squashed.

The company’s shares have lifted 2.3% in after hours, trading at $210.19 as of 4:43 p.m. EDT.

“Our strong results in the first quarter reflect continued momentum from the returns we have seen from our strategic investment plan. We continue to be in investment mode as we focus on shifting the mix of the portfolio to faster growth areas, including product and technology platforms, delivery platforms and increasing our presence in emerging markets,” CEO Timothy Ring said in a prepared statement.

Bard issued updated financial guidance for the fiscal year 2016, expecting to see net sales rise between 6% and 8%, or between 7% and 8.5% excluding the impact of foreign exchange.

Full year 2016 diluted earnings per share are projected to be between $10.05 and $10.18, growing 11% to 12% compared to 2015, the company said.

Yesterday, a West Virginia federal judge dismissed nearly 150 product liability lawsuits brought against Bard over its pelvic mesh products, after an appeals court earlier this year upheld a $2 million verdict against the company in another suit.

Judge Joseph Goodwin of the U.S. District Court for Southern West Virginia, who’s overseeing the multi-district litigation involving thousands of lawsuits filed against Bard and other mesh makers, dismissed 149 of suits yesterday, according to court documents. The devices are designed to treat female urinary incontinence and pelvic organ prolapse. Medtronic (NYSE:MDT) subsidiary Covidien, which supplied the mesh to Bard, was also included in the dismissals.

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