Zimmer Holdings Earnings: Everything You Must Know Now

Zimmer Holdings, Inc. (NYSE:ZMH) 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.

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Zimmer Holdings, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 8.46% to $1.41 in the quarter versus EPS of $1.30 in the year-earlier quarter.

Revenue: Decreased 0.16% to $1.14 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Zimmer Holdings, Inc. reported adjusted EPS income of $1.41 per share. By that measure, the company beat the mean analyst estimate of $1.4. It missed the average revenue estimate of $1.14 billion.

Quoting Management: “We achieved our financial commitments in the first quarter, including leveraged earnings per share growth,” said David Dvorak, Zimmer President and CEO. “During the quarter, we continued to deliver value to stockholders through the introduction of significant new product offerings across the portfolio, as well as through an increased dividend and share repurchases. The foundational work completed in the quarter positions Zimmer for accelerated top-line growth for the balance of 2013.”

Key Stats (on next page)…

Revenue decreased 3.52% from $1.18 billion in the previous quarter. EPS decreased 6.62% from $1.51 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 $1.46 to a profit $1.47. For the current year, the average estimate has moved up from a profit of $5.74 to a profit of $5.75 over the last ninety days.

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