Steris Corp Earnings: Increase in Profit Year Over Year

Steris Corporation (NYSE:STE) reported its results for the third quarter. STERIS is a provider of infection prevention and surgical products and services, focused mainly on the critical markets of healthcare, pharmaceutical and research.

Investing Insights: Will the iPad 3 Be the Next Catalyst for Apple’s Stock?

Steris Earnings Cheat Sheet for the Third Quarter

Results: Net income for Steris Corporation rose to $33.6 million (58 cents per share) vs. $21.8 million (36 cents per share) in the same quarter a year earlier. This marks a rise of 54.4% from the year earlier quarter.

Revenue: Rose 8.2% to $355.2 million from the year earlier quarter.

Actual vs. Wall St. Expectations: Steris Corporation fell short of the mean analyst estimate of 61 cents per share. It fell short of the average revenue estimate of $363.4 million.

Quoting Management: “We are pleased with the solid revenue growth and free cash flow generation in our third quarter. However, profitability was dampened due to product mix and certain investments continuing to be made for the long-term benefit of the Company,” said Walt Rosebrough, President and Chief Executive Officer of STERIS. “In the fourth quarter, we anticipate a modest decline in revenue year over year as we have tough comparisons in both Healthcare and Life Sciences. In addition, we anticipate that our long-term investments in the business will continue at a higher rate than our previous estimate.”

Key Stats:

The company has now missed analyst estimates for the last four quarters. It fell short by 11 cents in the second quarter, by 2 cents in the first quarter, and by 2 cents in the fourth quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue increased 9.7% to $342.7 million in the second quarter. The figure rose 68.6% in the first quarter from the year earlier and climbed 13.7% in the fourth quarter of the last fiscal year from the year-ago quarter.

Looking Forward: Expectations for the company’s next quarter results are lower than they have been. Over the past sixty days, the average estimate for fourth quarter has fallen from 66 cents per share to 64 cents. At $2.22 per share, the average estimate for the fiscal year has fallen from $2.26 ninety days ago.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

Don’t Miss These Additional Hot Stories:

These Retailers Continue to Confuse Investors

Golden Cross Accomplished, Should You Buy?

Is 2012 the Year of the Golden Dragon?

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com