DENTSPLY International Earnings: Here’s Why the Stock is Down Now

DENTSPLY International Inc. (NASDAQ:XRAY) 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 0.61%.

DENTSPLY International Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 6.45% to $0.66 in the quarter versus EPS of $0.62 in the year-earlier quarter.

Revenue: Decreased 0.26% to $761 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: DENTSPLY International Inc. reported adjusted EPS income of $0.66 per share. By that measure, the company beat the mean analyst estimate of $0.65. It missed the average revenue estimate of $782.73 million.

Quoting Management: “DENTSPLY achieved record adjusted earnings for the second quarter driven by an acceleration of internal growth in the U.S. and expansion of adjusted operating margins,” said Bret Wise, Chairman and Chief Executive Officer. “Although we are pleased with our second quarter performance, market conditions continue to be difficult in Europe and movement of currency exchange rates has created some further headwind in the second half of the year. As a result, we are revising our expectations for adjusted earnings per share for 2013 to a range of $2.33 to $2.38.”

Key Stats (on next page)…

Revenue increased 3.95% from $732.08 million in the previous quarter. EPS increased 26.92% from $0.52 in 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 $0.58 and has not changed. For the current year, the average estimate has moved down from a profit of $2.43 to a profit of $2.37 over the last ninety days.

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