Sigma-Aldrich 3Q profit rises 5 percent, sales dip

Sigma-Aldrich 3rd-qtr profit rises 5 percent despite sales dip as company holds back expenses

• On 1:28 pm EDT, Thursday October 22, 2009

ST. LOUIS (AP) -- Biochemicals company on Thursday said its third-quarter profit rose 5 percent despite a slight dip in sales, helped lower expenses and taxes.

Net income for the three months ended Sept. 30 rose to $86.1 million, or 70 cents per share, from $81.9 million, or 64 cents per share, in the 2008 quarter.

The per-share results reflect a 3 percent year-over-year drop in the number of outstanding shares.

Sales dipped 1 percent to $533.8 million from $540.6 million in the year-ago period.

The company said unfavorable currency translations reduced reported sales by 3.6 percent.

Analysts surveyed by Thomson Reuters, on average, expected profit of 67 cents per share on revenue of $532 million.

Sales declined in all of its business units except for SAFC, which got a boost from its sales to pharmaceutical companies of components for making swine flu vaccines.

Expenses fell about 6 percent to $143 million, with declines in both sellling and administrative expenses and research and development costs. The company set aside $33.5 million for income taxes, a drop of 18 percent from last year.

Sigma-Aldrich maintained its forecast for full-year profit of $2.70. Analysts expect the company to post profit of $2.72, on average, with estimates ranging from $2.65 to $2.75.

In afternoon trading, Signma-Aldrich shares lose 51 cents, to $54.69. The stock has changed hands between $31.45 and $56.29 in the past year.

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