Mindray Results Miss Estimates; Names Li Xiting Executive Chairman

(RTTNews) - Mindray Medical International Ltd (MR) on Monday reported fourth-quarter net earnings of $52 million or $0.44 per share, a decline from $75.2 million or $0.63 per share last year. Results were hurt by lower margins, the company said.

Excluding items, adjusted earnings for the quarter were $0.50 per share compared with $0.62 per share a year ago.

The medical device maker's revenues for the quarter were higher at $399 million compared with $368.4 million in the prior year, helped by growth in China as well as international markets.

Analysts polled by Thomson Reuters estimated earnings of $0.52 per share on revenues of $407 million for the quarter. Analysts' estimates typically exclude special items.

The company's gross margin for the quarter fell to 55.3% from 55.9% in the prior year, and operating margin slid to 13.4% from 14.6%.

Mindray has declared a cash dividend of $0.40 per share.

For the full year 2015, Mindray expects adjusted earnings to decrease by a high-single digit percentage and revenues to grow by a mid-single digit percentage, compared with the last year.

Analysts expect earnings of $1.82 per share on revenue growth of 9.7% for 2015.

Separately, the company said it has appointed Li Xiting as executive chairman of the board. Li is currently serving as the company's president, co-chief executive officer and director. Xu Hang will continue to serve as chairman.