Quest Diagnostics Raises 2014 Outlook - Quick Facts

(RTTNews) - Quest Diagnostics Inc. (DGX) said that, after the completion of the Solstas transaction, it raised its full-year 2014 financial guidance for results from continuing operations, excluding special items.

Adjusted earnings per share from continuing operations for full year 2014 are now expected to be between $3.95 and $4.15, versus the prior guidance of between $3.90 and $4.10.

Annual revenues now are expected to increase 2% to 4% over the full year 2013, versus the prior guidance of flat to down 2%.

Analysts polled by Thomson Reuters expect the company to report earnings of $4.03 per share and revenues of $7.19 billion for fiscal 2014. Analysts' estimates typically exclude special items.

The company stated that the updated guidance for the full year 2014 reflects unseasonably harsh winter weather conditions during February, which have negatively impacted its performance.

The company now estimates the impact of weather to first quarter adjusted earnings per share to be approximately $0.10.

Quest Diagnostics announced that it has completed the previously announced acquisition of Solstas Lab Partners Group and its subsidiaries, a full-service commercial laboratory company based in Greensboro, North Carolina.

In January, Quest Diagnostics agreed to acquire Solstas Lab Partners Group and its units for around $570 million. Solstas is a portfolio company of Welsh, Carson, Anderson and Stowe, a private-equity firm specializing in information/business services and healthcare businesses.