NEWS: Pall Corp. reported a sharp decline in net income Tuesday as the filtration company was saddled higher restructuring costs and interest expenses during the first quarter. Removing one-time costs, however, it topped Wall Street expectations and shares rose in afternoon trading.
DETAILS: The company recorded restructuring and other charges of $9.2 million in the quarter, versus $4.3 million last year. It also had interest expenses of nearly $6 million during the most recent quarter, versus a benefit of $568,000 last year. These costs ate into its profitability given modest sales improvements year-over-year.
NUMBERS: Net income fell to $71.5 million, or 63 cents per share, for the quarter that ended Oct. 31. That's compared with net income of $339.5 million, or $2.92 cents per share, last year. It earned 70 cents per share from continuing operations versus 68 cents per share last year. Revenue increased to $629.8 million from $627.6 million.
Analysts polled by FactSet were anticipating earnings of 68 cents per share on revenue of $627.3 million.
FUTURE: Pall said that based on strong performance in its life sciences segment and improved momentum in orders for its industrial business, it stood by its forecast of low-to-mid single digit revenue growth.
STOCK: Shares of the Port Washington, N.Y.-based company increased $1.45 to $83.15 by midafternoon, ahead of broader market gains. Its shares hit $85.55 earlier in the day, a new 52-week trading high for the company.
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