Life Technologies Earnings Cheat Sheet: Profit Falls, Snapping Streak of Rising Profits
S&P 500 (NYSE:SPY) component Life Technologies Corporation (NASDAQ:LIFE) reported its results for the second quarter. Life Technologies Corporation is a global biotechnology tools company offering products that include systems, instruments, reagents and custom services.
Life Technologies Earnings Cheat Sheet for the Second Quarter
Results: Net income for the biotechnology company fell to $95.5 million (52 cents per share) vs. $110.6 million (58 cents per share) a year earlier. This is a decline of 13.7% from the year earlier quarter.
Revenue: Rose 4.1% to $941.1 million from the year earlier quarter.
Actual vs. Wall St. Expectations: LIFE reported adjusted net income of 89 cents per share. By that measure, the company fell short of mean estimate of 94 cents per share. It fell short of the average revenue estimate of $960.8 million.
Quoting Management: “Our second quarter results were lower than anticipated, the result of continued budget pressure on academic and government funded research in the US and Europe, the lingering effects of the Japan earthquake on the 5500 launch, and a temporary slowdown in our China business resulting from the evolution of our commercial strategy,” said Gregory T. Lucier, Chairman and Chief Executive Officer of Life Technologies.
Last quarter’s profit decrease breaks a streak of four consecutive quarters of year-over-year profit increases. In the first quarter, net income rose 2.4% from the year earlier, while the figure increased 44.5% in the fourth quarter of the last fiscal year, more than twofold in the third quarter of the last fiscal year and more than twofold in the second quarter of the last fiscal year.
Revenue has risen the past four quarters. Revenue increased 1.2% to $895.9 million in the first quarter. The figure rose 7% in the fourth quarter of the last fiscal year from the year earlier and climbed 8.3% in the third quarter of the last fiscal year from the year-ago quarter.
The company fell short of estimates last quarter after being in line with expecations the quarter before with net income of 85 cents.
Competitors to Watch: Techne Corporation (NASDAQ:TECH), Qiagen NV (NASDAQ:QGEN), Affymetrix, Inc. (NASDAQ:AFFX), Sigma-Aldrich Corporation (NASDAQ:SIAL), Thermo Fisher Scientific Inc. (NYSE:TMO), Strategic Diagnostics Inc. (NASDAQ:SDIX), Agilent Technologies Inc. (NYSE:A), Bio-Rad Laboratories, Inc. (NYSE:BIO), PerkinElmer, Inc. (NYSE:PKI), and Johnson & Johnson (NYSE:JNJ).
(Source: Xignite Financials)