) posted flat earnings of 30 cents per share in the second
quarter of the year compared with the prior-year quarter but beat
the Zacks Consensus Estimate by 3 cents. Net earnings fell
marginally by 4.0% to $17.0 million from $17.7 million a year
Masimo's revenues (including royalties) during the quarter went
up almost 12.0% to $137.4 million, slightly exceeding the Zacks
Consensus Estimate of $136 million.
Product revenues grew 12% to $129.6 million from $115.3 million
in the second quarter of 2012. Worldwide direct product revenues
rose 10% in the quarter and represented 83% of total product
OEM sales, which accounted for 17% of product revenue, escalated
27% from the same period in 2012. Revenue from Masimo rainbow
products went up 19% to $11.5 million in the second quarter,
which included $3.6 million in sales of total hemoglobin
Masimo shipped approximately 42,600 SET pulse oximetry and
rainbow SET Pulse CO-Oximetry units, excluding handheld units, in
the quarter. This was up 14% from 37,300 units in the second
quarter of 2012. The company's worldwide installed base is
estimated to be 1,148,000 units as of Jun 29, 2013, up 11% from
1,033,000 units as of Jun 30, 2012.
MASI had cash and cash equivalents of $78.1 million as of Jun 29,
2013, up from $71.6 million as of Dec 29, 2012. Capital lease
obligations rose to $340 thousand as of Jun 29, 2013 compared
with $115 thousand as of Dec 29, 2012.
In the first six months of 2013, cash flow from operating
activities rose marginally by nearly 4.0% to $32.4 million from
$31.2 million in the same period of 2012. Capital expenditure
decreased to $3.9 million compared with $4.8 million a year ago.
MASI develops innovative monitoring technologies that
significantly improve patient care -- helping solve unsolvable
problems. The company sells its products to hospitals, emergency
medical response organizations, and alternate care market through
its direct sales force and distributors, as well as to original
equipment manufacturer partners. Currently, it retains a Zacks
Rank #3 (Hold).
Other stocks that are also performing well in the medical
instruments industry include
Mindray Medical International Limited
Echo Therapeutics, Inc.
IDEXX Laboratories, Inc.
). All of them are Zacks Rank #2 (Buy) stocks.
ECHO THERAPEUT (ECTE): Free Stock Analysis
IDEXX LABS INC (IDXX): Free Stock Analysis
MASIMO CORP (MASI): Free Stock Analysis
MINDRAY MEDICAL (MR): Free Stock Analysis
To read this article on Zacks.com click here.