DOW JONES NEWSWIRES
Gen-Probe Inc.'s (GPRO) third-quarter profit increased 23% on
higher sales of blood screening, women's health and Prodesse
products.
But shares dropped 8.3% to $45 in after-hours trading as the
diagnostics company's revenue fell short of Wall Street's
expectations and Gen-Probe cut its 2010 revenue guidance to a range
of $541 million to $546 million from a previous view of $545
million to $562 million. It narrowed its 2010 earnings view to a
range of $2.12 to $2.15 from a previous range of $2.12 to
$2.25.
President and Chief Executive Carl Hull said major research and
development initiatives that Gen-Probe expects will boost its
product sales growth remain on track, with four U.S. regulatory
filings completed this year and another expected in the next
month.
Gen-Probe has rejiggered its operations with the acquisition of
infectious-disease company Prodesse and the spinoff of its
industrial-testing business this year.
For the latest quarter, the company reported a profit of $27.4
million, or 56 cents a share, up from $22.2 million, or 44 cents a
share, a year earlier. Excluding items such as acquisition-related
expenses, earnings rose to 57 cents from 48 cents. Revenue grew
8.1% to $132.6 million.
Analysts estimated earnings of 50 cents on revenue of $135.3
million, according to a poll by Thomson Reuters.
Product sales rose 7.8%, with an 11% increase in blood-screening
sales and 7.6% growth in clinical diagnostics.
-By Kathy Shwiff, Dow Jones Newswires; 212-416-2357;
Kathy.Shwiff@dowjones.com