Varian misses expectations for Q1 earnings despite swing to black

Varian Medical (NYSE:VAR) today posted fiscal first-quarter results today that missed the consensus forecast on Wall Street by a penny, despite a swing to black ink for the period.

The Palo Alto, Calif.-based company reported profits of $103.2 million, or $1.12 per share, on sales of $741.0 million for the three months ended Dec. 28, 2018. That compares with losses of -$112.3 million for the same period last year and makes for a top-line gain of 9.2%.

Adjusted to exclude one-time items, earnings per share were $1.06, a penny off of the consensus on The Street, where analysts were looking for sales of $717.8 million.

“In the first quarter, we built on the strong trajectory from last year, bringing our trailing twelve-month orders growth rate to 11%,” CEO Dow Wilson said in prepared remarks. “The team delivered exceptional performance, with accelerating software revenues and overall orders growing double-digits in each of our three geographic regions. We made progress on our strategic growth initiatives, extending our global footprint by securing Halcyon approval in China and expanding our addressable markets by signing two Noona deals with pharmaceutical companies. With a strong start to the year and tariff mitigation activities on track, we are well-positioned to deliver results within our fiscal year 2019 guidance.”

Varian said it still expects to log full-year adjusted EPS of $4.60 to $4.75 on sales of $3.06 billion to $3.15 billion.

VAR shares closed up 1.0% at $126.72 apiece yesterday.

The post Varian misses expectations for Q1 earnings despite swing to black appeared first on MassDevice.

from MassDevice http://bit.ly/2Wc3bqR