Patterson Cos. (NASDAQ: PDCO) reported Q1 EPS of $0.26, $0.08 worse than the analyst estimate of $0.34. Revenue for the quarter came in at $1.34 billion versus the consensus estimate of $1.3 billion.

Mark Walchirk, president and CEO of Patterson Companies, said, “Our results for the quarter did not meet our expectations. While our ongoing initiatives to improve the customer experience and enhance sales execution helped drive improved top line performance, these results were offset by competitive pricing pressures which negatively impacted our margins. The Animal Health business performed in line with our expectations, with solid revenue growth across both companion and production and particular strength in our private label category. Dental segment revenues benefited from year-over-year growth across all equipment categories and improving trends in consumables.

“Despite improving sales results, operating margins were below our expectations. We continue to take steps to stabilize our margins, including a thorough evaluation of our cost structure, but expect the pricing pressures to persist in the coming quarters. As a result, we are updating our fiscal 2019 earnings guidance to reflect our revised expectations for the remainder of the year.”

GUIDANCE:

Patterson Cos. sees FY2019 EPS of $1.40-$1.50, versus the consensus of $1.71.

For earnings history and earnings-related data on Patterson Cos. (PDCO) click here.