Market Overview

Hologic Announces Financial Results for Second Quarter of Fiscal 2018

Share:

Hologic Announces Financial Results for Second Quarter of Fiscal 2018

-- Revenue of $789.3 Million Grows 10.3%, 8.3% in Constant Currency --

-- Company Posts GAAP Diluted EPS of ($2.46) Due to Non-Cash Charges, Non-GAAP Diluted EPS of $0.53 --

PR Newswire

MARLBOROUGH, Mass., May 2, 2018 /PRNewswire/ -- Hologic, Inc. (NASDAQ:HOLX) announced today the Company's financial results for the fiscal second quarter ended March 31, 2018.

Revenue of $789.3 million increased 10.3%, or 8.3% in constant currency, compared to the prior year period.  Excluding the acquired medical aesthetics and divested blood screening businesses, revenue increased 4.8%, or 2.6% in constant currency. 

GAAP diluted earnings per share (EPS) of ($2.46) decreased $4.30 compared to the prior year period, primarily due to non-cash impairment charges for goodwill and in-process research and development of $685.7 million and $46.0 million, respectively, related to Hologic's Cynosure business.  In the prior year period, Hologic recorded an $899.7 million gain related to the divestiture of the blood screening business.  Non-GAAP diluted EPS of $0.53 increased 6.0% compared to the prior year period.      

"We posted solid financial results in the second quarter, as our breast health and international businesses performed well and drove total revenue above our guidance," said Steve MacMillan, Hologic's Chairman, President and Chief Executive Officer.  "And while we are disappointed with the Cynosure write-down, we remain confident that the many changes we have made in that business are leading to a much stronger future."

Key financial results for the fiscal second quarter are shown in the table below.  Comparisons to the prior year period are affected by the divestiture of Hologic's blood screening business, which closed in late January 2017, and the acquisition of Cynosure, which closed in late March 2017. 


GAAP

Non-GAAP


Q2'18

Q2'17

Change

Increase
(Decrease)

Q2'18

Q2'17

Change

Increase
(Decrease)

Revenues

$789.3

$715.4

10.3%

$789.3

$715.4

10.3%

Gross Margin

52.6%

54.3%

(170 bps)

62.7%

63.9%

(120 bps)

Operating Expenses

$1,019.3

($611.1)

N.M.

$266.9

$223.0

19.7%

Operating Margin

(76.5%)

139.8%

N.M.

28.9%

32.7%

(380 bps)

Net Margin

(86.3%)

73.6%

N.M.

18.7%

19.9%

(120 bps)

Diluted EPS

($2.46)

$1.84

N.M.

$0.53

$0.50

6.0%

Throughout this press release, all dollar figures are in millions, except EPS.  Some totals may not foot due to rounding.  Unless otherwise noted, all results are compared to the corresponding prior year period.  Non-GAAP results exclude certain cash and non-cash items as discussed under "Use of Non-GAAP Financial Measures."  Constant currency percentage changes show current period revenue results as if the foreign exchange rates were the same as those in the prior year period.

Revenue Detail

$s in millions

Q2'18

Q2'17

Reported
Change

Constant Currency
Change

     Cytology & Perinatal

$117.7

$115.6

1.8%

(1.4%)

     Molecular Diagnostics

$150.7

$142.1

6.1%

4.4%

     Blood Screening

$11.3

$38.3

(70.6%)

(70.6%)

Total Diagnostics

$279.7

$296.0

(5.5%)

(7.6%)

Total Diagnostics ex. Blood

$268.4

$257.7

4.2%

1.8%

     Breast Imaging

$247.2

$234.0

5.7%

3.7%

     Interventional Breast Solutions

$49.7

$44.3

12.2%

10.3%

     Other

$3.2

$2.2

43.8%

24.6%

Total Breast Health

$300.1

$280.5

7.0%

4.9%

     Body

$20.0

$3.6

N.M.

N.M.

     Skin

$40.2

$6.9

N.M.

N.M.

     Women's Health/Other

$25.3

$5.5

N.M.

N.M.

Total Medical Aesthetics

$85.5

$16.0

N.M.

N.M.

GYN Surgical

$99.4

$101.1

(1.7%)

(3.2%)

View Comments and Join the Discussion!
 
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com