Given Imaging beats on profits despite flat revenue

Given Imaging Ltd. (Nasdaq: GIVN; TASE: GIVN) reiterated its full-year guidance, after reporting strong profit growth despite flat revenue for the third quarter of 2012.

Revenue rose to $45.4 million for the third quarter from $44.7 million for the corresponding quarter of 2011. Excluding the negative effect of foreign currency conversions, revenue rose 4% to $46.3 million.

GAAP-based net profit rose 58% to $6 million ($0.19 per share) for the third quarter from $3.8 million for the corresponding quarter, and non-GAAP net profit rose 47% to $7.9 million ($0.25 per share) from $5.3 million.

Given Imaging beat the analysts' earnings per share consensus of $0.19, but missed their revenue consensus of $52.7 million.

The company had $119.1 million in cash and cash equivalents, short-term investments and marketable securities at the end of September.

Given Imaging reiterated its full-year guidance of GAAP-based earnings per share of $0.45-0.55 and non-GAAP earnings per share of $0.70-0.80 on $185-190 million revenue. The guidance is in line with the analysts' consensus of non-GAAP earnings per share of $0.48 on $186.4 million revenue.

Given Imaging's revenue in the Americas rose 6% to $28.6 million for the third quarter from $26.9 million for the corresponding quarter, but European revenue fell 6% to $10.1 million from $10.7 million, due to lower PillCam sales in southern Europe and the weakness of the euro against the dollar. Asia-Pacific sales also fell 6% to $6.6 million from $7.1 million.

Worldwide PillCam SB sales fell to 58,200 capsules during the third quarter from 58,900 capsules during the corresponding quarter, due to a 10% drop in sales in China.

Worldwide sales of gastrointestinal diagnostics products, including the Bravo pH Monitoring System, Digitrapper pH-Z and ManoScan, rose 5% to $13.2 million for the third quarter from $12.6 million for the corresponding quarter. Most of the growth was in the Americas.

Published by Globes [online], Israel business news - www.globes-online.com - on November 7, 2012