Disappointing quarter for AngioDynamics
AngioDynamics, Inc., a Latham-based medical device manufacturer, is expecting third quarter net sales of about $82 million, a disappointing outcome from earlier forecast net sales of $89 million to $90 million.
“We just ended a disappointing quarter,” said AngioDynamics President and CEO Joseph DeVivo in a Thursday filing with the U.S. Securities and Exchange Commission. “At the beginning of the year, we expected to build momentum and grow in the second half, and achieving our goals has been delayed. Across most of our product lines, when comparing the third to the second quarter, our average daily sales were flat. The continued development of our global commercial organization post our integration contributed to our third quarter performance, but we also clearly did not anticipate the weaknesses we saw in elective procedures and in the overall market."
The company's third quarter net sales (ending Feb. 28) were primarily affected by sales attrition in its Vascular Access business and delays in equipment purchases that slowed Oncology/Surgery sales.
Cost reduction initiatives helped to offset the lower-than-expected sales last quarter, but the company still expects to report adjusted net income for the third quarter in the range of $0.04 per share to $0.06 per share.
These preliminary results are still subject to completion of financial statements, however.
“We’re viewing the third quarter top line performance as a temporary setback," said DeVivo. "It is simply taking us more time to build momentum as we continue to onboard new technologies while our sales force settles in. However, we remain as confident as ever in our strategy for growth, our business model and in the management team we have in place."
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