Medical waste firm Stericycle Inc. reported a drop in net earnings but higher revenue for its third quarter–a similar result to its previous fiscal period.
Here are seven takeaways from the Lake Forest, Ill.-based company’s latest results, for the quarter ended Sept. 30.
- Net income declined 49.2 percent to $42.2 million, or 47 cents per diluted share, compared with $83 million, or 96 cents per diluted share, in the 2014 period.
- Revenue climbed 7.6 percent to $718.6 million from $667.9 million a year earlier, the company said in a news release. Acquisitions added about $33.3 million in revenues to the current period’s growth.
- For the nine-month period, net profits for Stericycle fell 27.1 percent to $178.9 million, or $2.04 per diluted share, compared with $245.5 million, or $2.83 per diluted share, in the year-ago period.
- For the same year-to-date period, revenue rose 11.7 percent to $2.1 billion from $1.88 billion in the 2014 period.
- Zacks Equity Research characterized earnings per share results as “woefully short” of its consensus estimate by 10 cents. It said the significant decline occurred despite a healthy top-line improvement and was the result primarily of high operating, acquisition and integration expenses.
- Earlier in October Stericycle settled a long-standing lawsuit regarding charges that it had been systematically overcharging government entities for its services. The settlement totaled $26.8 million.
- In July Stericycle made a huge acquisition, buying information destruction firm Shred-it International for $2.3 billion.