NEW YORK (AP) -- Shares of Meridian Bioscience Inc. fell Thursday after the diagnostic test maker reported disappointing third-quarter revenue and cut its forecast for the year.
The Cincinnati company said revenue in Europe fell because of the stronger dollar, and growth in sales of several tests slowed compared with previous quarters. Meridian now expects a smaller profit and less revenue for the fiscal year ending Sept. 30.
Meridian shares fell $1.70, or 9.2 percent, to close at $16.81 on Thursday.
Net income grew to $8.6 million, or 21 cents per share, over the three months ended June 30, up 26 percent from profit of $6.8 million, or 17 cents per share, a year ago. Analysts forecast profit of 22 cents per share.
Revenue rose 5 percent, to $42.1 million from $40.1 million. Analysts expected stronger growth, to $46.7 million.
Meridian said growth in revenue from testing for C. difficile, a bacterium that can cause diarrhea and colon inflammation; H. pylori, a cause of stomach ulcers; and foodborne pathogens slowed down. It said U.S. diagnostic revenue rose 10 percent but European diagnostic revenue fell 11 percent because the dollar rose against European currencies.
A rising dollar hurts income earned overseas when its translated back into the dollar.
For the full year, Meridian expects profit of 78 to 81 cents per share, down from a previous forecast of 85 to 89 cents per share. Meridian cut its revenue guidance to a range of $171 million to $175 million from $183 million to $192 million.
Analysts were estimating net income of 85 cents per share and $182.8 million in revenue on average..