Covidien Earnings: Medical Devices Flying Off the Shelves
Covidien (NYSE:COV) reported its results for the second quarter. Covidien PLC is engaged in the development, manufacture and sale of healthcare products for use in clinical and home settings. It operates its businesses through three segments: Medical Devices, Pharmaceuticals and Medical Supplies.
Covidien plc Earnings Cheat Sheet for the Second Quarter
Results: Net income for Covidien plc rose to $455 million (92 cents/share) vs. $413 million (82 cents/share) YoY. A rise of 10.2% from the year earlier quarter.
Revenue: Rose 5.2% to $2.8 billion YoY.
Actual vs. Wall St. Expectations: COV beat the mean analyst estimate of 89 cents/share. Estimates ranged from 85 cents per share to 93 cents per share.
Quoting Management: “Our solid second-quarter results continued the strong performance we have delivered for the last several years,” said Richard J. Meelia, Chairman, President and CEO. “Our double-digit top line gain was again fueled by our largest business segment, Medical Devices, which recorded another excellent quarter paced by energy and vascular products.”
The company has now seen net income rise in three-straight quarters. In the first quarter, net income rose 3.6% and in the fourth quarter of the last fiscal year, the figure rose more than sevenfold.
Over the last five quarters, revenue has fallen an average of 0.9% year over year. The biggest drop came in the fourth quarter of the last fiscal year, when revenue fell 11.1% from the year earlier quarter.
Today’s Performance: Shares of COV are trading at $54.94, up 2% from the previous closing price of $53.87.