Synergetics USA (SURG) Offers Q1 Guidance
Tweet
Share
E-mailGet Alerts SURG Hot Sheet
Join SI Premium – FREE
Synergetics USA, Inc. (NASDAQ: SURG) today announced it expects to report growth in sales and net income for the first fiscal quarter ended October 31, 2011, compared with the first quarter of the prior year.
Synergetics expects to report revenue of $13.3 million to $13.6 million in the first quarter of fiscal 2012, representing approximately a 10%-13% increase in revenue compared with the first quarter of fiscal 2011. The growth in revenue was driven primarily by higher sales of domestic ophthalmology products, including increased sales of core products and procedural pack business compared with the first quarter of last year. In addition, the revenue growth was attributable to increased sales to the Company’s marketing partners.
The Company expects to report earnings from continuing operations of $0.04 to $0.05 per share for the first quarter of fiscal 2012. The Company also expects to report $0.01 to $0.02 per share loss from discontinued operations. Synergetics closed its plastic injection molding operations during the first quarter of fiscal 2011 and has transitioned this production to an outside vendor. The change is expected to result in improved gross profit margins associated with plastic injection molded products in the latter half of fiscal 2012.
Synergetics reported revenues of $12.1 million and earnings of $0.03 per diluted share, for the first quarter ended October 31, 2010. The consensus for earnings for the quarter is $0.06 per share. The consensus for revenue for the quarter is $14.17 million.
“Our first quarter is our seasonally lightest quarter and we are pleased to report continued demand for our core products,” stated David M. Hable, President and Chief Executive Officer. “However, our first quarter’s sales were short of our expectations due to the roll-over of some OEM orders into our second fiscal quarter and an increase in our backorders at quarter’s end. We experienced an increase in backorders at the close of the first quarter as we rebalanced inventories as part of our lean manufacturing initiatives. We continue to make progress in our implementation of our lean initiatives throughout our production, inventory management and shipping processes and believe these will contribute to Synergetics’ achieving world class service levels on a go forward basis. We estimate that backorders totaled $500,000 at the end of our first quarter.”
Synergetics expects to report revenue of $13.3 million to $13.6 million in the first quarter of fiscal 2012, representing approximately a 10%-13% increase in revenue compared with the first quarter of fiscal 2011. The growth in revenue was driven primarily by higher sales of domestic ophthalmology products, including increased sales of core products and procedural pack business compared with the first quarter of last year. In addition, the revenue growth was attributable to increased sales to the Company’s marketing partners.
The Company expects to report earnings from continuing operations of $0.04 to $0.05 per share for the first quarter of fiscal 2012. The Company also expects to report $0.01 to $0.02 per share loss from discontinued operations. Synergetics closed its plastic injection molding operations during the first quarter of fiscal 2011 and has transitioned this production to an outside vendor. The change is expected to result in improved gross profit margins associated with plastic injection molded products in the latter half of fiscal 2012.
Synergetics reported revenues of $12.1 million and earnings of $0.03 per diluted share, for the first quarter ended October 31, 2010. The consensus for earnings for the quarter is $0.06 per share. The consensus for revenue for the quarter is $14.17 million.
“Our first quarter is our seasonally lightest quarter and we are pleased to report continued demand for our core products,” stated David M. Hable, President and Chief Executive Officer. “However, our first quarter’s sales were short of our expectations due to the roll-over of some OEM orders into our second fiscal quarter and an increase in our backorders at quarter’s end. We experienced an increase in backorders at the close of the first quarter as we rebalanced inventories as part of our lean manufacturing initiatives. We continue to make progress in our implementation of our lean initiatives throughout our production, inventory management and shipping processes and believe these will contribute to Synergetics’ achieving world class service levels on a go forward basis. We estimate that backorders totaled $500,000 at the end of our first quarter.”
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Walmart (WMT) PT Lowered to $130 at UBS on Investment Narrative's Competing Dynamics
- Arena Group to rename as Paradium.AI, ticker changing to PAAI
- Advance Auto Parts (AAP) PT Lowered to $43 at Truist Securities
Create E-mail Alert Related Categories
GuidanceRelated Entities
EarningsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
