Syneron Medical Ltd. (Nasdaq: ELOS) today published its financial report for the third quarter. The esthetic surgery equipment maker missed the analysts' consensus on both revenue and profits, and saw its share drop over 15% at the opening on Nasdaq to $7.86.
Syneron posted $28.5 million for the third quarter, 14% less than the $33.1 million for the corresponding quarter of 2007. The analysts' consensus was $29.6 million. 53% of sales were in North America.
GAAP-based net profit was $2.2 million ($0.08 per share) for the third quarter, barely a quarter of the $8 million for the corresponding quarter. Non-GAAP net profit was $3.1 million ($0.11 per share), less than a third of the $10.4 million for the corresponding quarter. The analysts' consensus was $0.13 earnings per share.
Syneron had $219 million in cash, including long-term deposits, at the end of September.
Syneron CEO Doron Gerstel kept a brave front, saying that the company continued to be profitable despite the current economic environment. He noted, however, "Comparing third quarter revenues for 2008 with the same quarter in 2007, we see the effect of the current economic slowdown in US and European markets. Doctors are postponing decisions to make new capital equipment purchases and credit terms have tightened significantly."
Published by Globes [online], Israel business news - www.globes-online.com - on November 11, 2008
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