Mindray Medical Expects Higher Revenues In 2014, But Outlook Below View

(RTTNews) - China-based medical device maker Mindray Medical International Ltd. (MR) said that for the year ended December 31, 2014, it expects net revenues to be about $1.318 billion, representing year-over-year growth of about 8.6 percent.

On average, analysts polled by Thomson Reuters expect the company to report revenues of $1.33 billion for the year. Analysts' estimates typically exclude special items.

Based on the estimated full-year revenues, the company anticipates 2014 adjusted net income of about $220 million, compared to $237 million in the year-ago period.

The adjusted net income figure excludes the tax benefits related to the key software enterprise status and assumes a corporate income tax rate of 15 percent applicable to the Shenzhen subsidiary.

For fiscal 2015, Mindray Medical forecasts net revenues to grow by a mid-single digit percentage year-over-year. Street expects the company to report revenues of $1.51 billion for the year.

The company will provide full-year guidance for 2015 in the fourth quarter and full-year 2014 earnings announcement.

Li Xiting, Mindray's President and Co-Chief Executive Officer said, "The overall operating environment in 2014 was challenging for our business, particularly the widespread weakness in the domestic Chinese market and significant headwinds as a result of unfavorable economic, currency and political developments in several key emerging markets."

Xiting added, "Nevertheless, we are delighted that Western Europe performed well. We are also happy that our IVD segment recorded good growth with reagent sales continuing its upward trend. Over the past year, we launched nine new products and continued to strengthen our core capabilities in major markets."

In addition, the company's board of directors recently appointed Kern Lim as chairman of the audit committee and Ronald Ede as an audit committee member. Both Lim and Ede are current board members of the company.