Natus MedicalNatus Medical (NSDQ:NTUS) shares took a hit today on second-quarter results that came up short of the consensus earnings forecast.

The Pleasanton, Calif.-based maker of monitoring and diagnostics for newborns posted losses of -$8.9 million, or -26¢ per share, on sales of $84.8 million for the three months ended June 30, 2020, for a bottom-line slide into the red on a sales decline of -32.5%.

Adjusted to exclude one-time items, earnings per share were -13¢, 18¢ behind Wall Street analysts’ projections.

Natus reported that its neuro end market took a hit because of the decline in spending at many hospitals during the COVID-19 pandemic, while hearing & balance revenue went down with reduced activity in audiologist offices and retail hearing centers.

However, the company did report a strong performance from its newborn care business, which saw revenues increase by 1% as births continued at normal rates and the company released its Nicview II NICU video streaming product.

“As expected, we saw significant impact from COVID-19 during the second quarter, with revenue declining 32.5% compared to the second quarter of 2019,” Natus president & CEO Jonathan Kennedy said in a news release. “Looking ahead to the third quarter, we expect neuro and hearing & balance revenues to remain below pre-pandemic levels, but to improve compared to the second quarter. We expect newborn care to remain closer to historical levels. We see our customers adapting to the COVID environment with elective procedures resuming, which we believe will result in increased capital spending, improving our business over the remainder of 2020.”

Natus will continue to withhold its 2020 financial guidance at this time due to the uncertainties caused by the pandemic.

NTUS shares were down -4.8% at $17.69 per share in midday trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — was up 1.1%.