Henry Schein 1Q net income rises as sales improve

Henry Schein 1st-quarter income rises on animal health sales, lower restructuring costs

Associated Press

MELVILLE, N.Y. (AP) -- Health care products company Henry Schein Inc. said Tuesday that its net income rose 13 percent in the first quarter as its sales improved and restructuring costs decreased.

Henry Schein said its dental revenue rose 3 percent to $1.19 billion, partly because U.S. dental practitioners sped up their equipment purchases so they could take advantage of tax incentives. Revenue from the company's animal health unit grew 22 percent, mostly because of acquisitions, and revenue from its medical business climbed 10 percent.

The company said its net income rose to $91.5 million, or $1.03 per share, from $80.8 million, or 89 cents per share. Excluding costs related to refinancing debt from the animal health division, Henry Schein said it earned $1.06 per share. Revenue grew 9 percent, to $2.29 billion from $2.1 billion.

Analysts were expecting net income of $1.07 per share and $2.25 billion in revenue, according to FactSet.

A year ago the company reported $11.8 million in restructuring costs.

Henry Schein said its animal health revenue totaled $639.1 million and medical revenue increased to $388.9 million. Technology and service revenue rose 19 percent to $74.7 million.

Henry Schein maintained its full-year guidance, saying it expects to earn between $4.81 and $4.91 per share. That includes the 3-cent-per-share debt refinancing charge .Analysts expect net income of $4.87 per share on average.

Shares of Henry Schein fell 14 cents to $90.99 in morning trading.

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