CryoLife Earnings: Here’s Why Investors are Not Excited Now

CryoLife Inc. (NYSE:CRY) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 5.37%.

CryoLife Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 33.33% to $0.08 in the quarter versus EPS of $0.12 in the year-earlier quarter.

Revenue: Rose 0.93% to $33.5 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: CryoLife Inc. reported adjusted EPS income of $0.08 per share. By that measure, the company beat the mean analyst estimate of $0.07. It missed the average revenue estimate of $35.45 million.

Quoting Management: Steven G. Anderson, president and chief executive officer, said, “We continued to make progress in our strategy to drive growth in our higher margin product segment. This included year-over-year and sequential revenue growth from our three newest product lines, PerClot, revascularization technologies (TMR) and the HeRO Graft. During the quarter we also achieved important regulatory milestones for each, including conditional IDE approval from the FDA to begin our PerClot clinical trial, FDA approval for our improved TMR laser handpiece, FDA clearance of our next generation HeRO device, and CE Mark for the current commercial version of the HeRO Graft. The strong performance and progress with these products was balanced by lower sales of BioGlue®, which was primarily related to timing of distributor orders, and lower sales in our tissue preservation segment. Overall, we remain well positioned to continue growing our product segment, which will support stronger cash flow generation and profitability.”

Key Stats (on next page)…

Revenue decreased 5.74% from $35.54 million in the previous quarter. EPS were the same at $0.08 as the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.06 and has not changed. For the current year, the average estimate has moved up from a profit of $0.27 to a profit of $0.28 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]