Pall Corp Earnings: Keeping the Profitability Streak Alive

The Cheat Sheet

S&P 500 component Pall Corporation reported its results for the second quarter. Pall supplies filtration, separation, and purification technologies for the removal of contaminants from a variety of liquids and gases.

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Pall Earnings Cheat Sheet for the Second Quarter

Results: Net income for the diversified machinery company rose to $84.7 million (72 cents per share) vs. $75.7 million (64 cents per share) in the same quarter a year earlier. This marks a rise of 12% from the year-earlier quarter.

Revenue: Rose 8.2% to $698 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Pall Corporation reported adjusted net income of 76 cents per share. By that measure, the company beat the mean estimate of 74 cents per share. Analysts were expecting revenue of $684.6 million.

Quoting Management: Larry Kingsley, president and CEO, said, “The sales increase in the quarter reflects good growth in both the Life Sciences and Industrial segments. On a global basis, emerging market sales grew over 20% in local currency driven by the Energy markets in MENA and Latin America. We continue to invest to grow in the emerging markets which represented about 20% of second quarter sales compared to about 17% a year ago.”

Key Stats:

Revenue has increased for four quarters in a row. Revenue increased 16.5% to $705.6 million in the first quarter. The figure rose 15% in the fourth quarter of the last fiscal year from the year earlier and climbed 15.2% in the third quarter of the last fiscal year from the year-ago quarter.

The company has beaten estiamtes for two quarters in a row. In the first quarter, it topped expectations with net income of 74 cents versus a mean estimate of net income of 65 cents per share.

Net income has increased 28.2% year-over-year on average across the last five quarters. The biggest gain came in the fourth quarter of the last fiscal year, when income climbed 77.2% from the year-earlier quarter.

The company’s cost of sales rose to 48.4% of revenue, just 8% from the year-earlier quarter.

Looking Forward: The average estimate for the third quarter remains unchanged at 82 cents a share. For the fiscal year, the average estimate has moved up from $3.14 a share to $3.22 over the last ninety days.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at

To contact the editor responsible for this story: Damien Hoffman at

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