Guidance
Looking forward for the full-year 2009, the company reiterates its revenue guidance in the range of $495 million to $515 million. The company increased the non-GAAP adjusted earnings per share guidance to a range of $0.96 to $1.07, from its earlier guidance in the range of $0.86 to $0.99 per share.
The company also reported a strong non-GAAP adjusted EPS performance in the first quarter of 2009 of $0.25 per share compared to $0.15 per share in the comparable period last year.
Men’s Health led the first quarter revenue increase with growth of 12.9% (16.9% at constant currency comparisons) to $59.5 million. Highlighting the quarter was very strong performance from the male continence product line, with the continued success of the AdVance male sling and the AMS 800 with InhibiZone. Revenue from the BPH business declined 17.7% (14.0% at constant currency comparisons) to $25.4 million during the quarter, largely the result of continued softness in capital equipment purchases and slowing in certain foreign distributor markets. Women’s Health grew 5.4% (8.6% at constant currency comparisons) to $38.7 million in the first quarter, led by growth in female continence driven by the MiniArc sling, and growth in the prolapse product line created by the recent introduction of the Elevate Posterior sling, partially offset by anticipated declines in uterine health.
“We experienced solid revenue growth in light of the current economic environment and the negative pressures related to the strengthened U.S. dollar. With that said, we are very pleased with our strong earnings performance, balance sheet management and cash generation,” stated Tony Bihl, chief executive officer. “Through a combination of operational efficiencies, reduced interest expense, a reduced tax rate, and continued working capital management, we were able to generate significantly improved earnings and cash flow over the prior year and further reduce our debt by $36 million in the first quarter.”
