Edwards Lifesciences Q1 Profit Beats Estimates; Sales Up 5.2%

(RTTNews) - Edwards Lifesciences Corporation (EW) reported first-quarter net income of $60.3 million, or $0.56 per share, compared to $143.9 million, or $1.24 per share, previous year. In last year's quarter, the company recorded a special pre-tax gain of $83.6 million, which was an initial payment from Medtronic related to ongoing U.S. Andersen patent litigation.

During the quarter, the company recorded a $7.5 million expense to settle past and future obligations related to one of the company's intellectual property agreements. The special charge decreased earnings per share by $0.06.

Non-GAAP net income was $82.1 million, or $0.76 per share, for the quarter.

On average, 21 analysts polled by Thomson Reuters expected the company to report profit per share of $0.69 for the quarter. Analysts' estimates typically exclude special items.

Net sales increased 5.2 percent to $522.4 million from $496.7 million. Underlying sales grew 7.8 percent. Analysts expected revenue of $524.79 million, for the quarter.

The company continues to expect full year 2014 total sales of $2.05 billion to $2.25 billion. Excluding special items, the company now expects full year 2014 earnings per share to be in a range around $3.10, which includes an assumed $0.10 benefit from the change in the treatment of IP litigation expenses. Analysts expect the company to report 2014 earnings per share of $3.06 on revenue of $2.16 billion.

For the second quarter of 2014, the company projects total sales to be between $525 million and $565 million, and earnings per share, excluding special items, to be between $0.71 and $0.81. Analysts expect the company to report second-quarter profit per share of $0.76 on revenue of $543.16 million.