Patterson Companies Q1 Profit Down - Quick Facts

(RTTNews) - Patterson Companies, Inc. (PDCO) reported that its first-quarter net income declined to $45.9 million, from $47.5 million in the year-ago period. But, earnings per share was $0.45, unchanged from last year. The company's fiscal 2014 first quarter investment in information technology lowered diluted earnings per share by approximately $0.01. Analysts polled by Thomson Reuters expected the company to report earnings of $0.48 per share for the quarter. Analysts' estimates typically exclude special items.

Consolidated sales for the quarter totaled $880.1 million, a decrease of 1.0 percent from $889.2 million in the year-earlier period. Fourteen analysts had consensus revenue estimate of $914.57 million for the quarter.

The company also announced that it plans to divest several non-core product lines in its medical segment. As a result, Patterson will incur a pre-tax restructuring charge in the range of $15 million -$17 million, or approximately $0.12 per share, the majority of which will be taken in the fiscal 2014 second quarter. Divesting these product lines is estimated to generate operational savings of approximately $2 million, or $0.01 per share, beginning in fiscal 2015.

Patterson has updated its fiscal 2014 earnings guidance to a range of $2.13 to $2.24 per share, which includes the anticipated $0.03 to $0.04 per share benefit from the NVS acquisition. The new guidance range excludes the non-recurring restructuring charge for Patterson Medical of approximately $0.12 per share. Previously, the company expected earnings per share to be in the range of $2.10 to $2.20 per share fiscal 2014. Analysts expect the company to report earnings of $2.17 per share for fiscal 2014.