CryoLife Earnings: Here’s Why the Stock is Up 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 up 1.5%.

CryoLife Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $0.08 in the quarter versus EPS of $0.07 in the year-earlier quarter.

Revenue: Rose 7.89% to $32.8 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 $0.05. It missed the average revenue estimate of $33.58 million.

Quoting Management: Steven G. Anderson, president and chief executive officer, said, “In 2012 we continued to execute on our strategy to complement our established tissue processing business with an expanded offering of higher growth and margin medical device products. During the year we acquired the HeRO Graft, a proprietary graft-based solution for certain patients with end-stage renal disease that fit this product profile. We also enhanced our financial position by settling all significant outstanding litigation. As a result, we generated 10 percent revenue growth for the year while also generating strong cash flow and profitability”

Key Stats (on next page)…

Revenue decreased 1.88% from $33.43 million in the previous quarter. EPS increased 33.33% from $0.06 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.07 to a profit $0.08. For the current year, the average estimate is a profit of $0.27, which is the same with that ninety days ago.

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