Henry Schein dips despite Street-beating Q4

Henry Schein (NSDQ:HSIC) shares dipped today despite fourth-quarter results that topped the consensus forecast.

The Melville, N.Y.-based company posted profits of $142.6 million, or 99¢ per share, on sales of $3.2 billion for the three months ended Dec. 26, 2020, for a -56.8% bottom-line slide on sales growth of 18.6%.

Adjusted to exclude one-time items, earnings per share were $1, 1¢ ahead of Wall Street, where analysts were looking for sales of $2.9 billion.

Henry Schein reported a 7.2% increase in sales up to $1.8 billion for its dental segment, while medical sales received a massive 48.5% boost to $1.2 billion, with demand for personal protective equipment (PPE) and COVID-19-related products, including tests, being the driving force behind that growth.

“Our Medical business experienced strong year-over-year sales growth in the fourth quarter driven by continued demand for PPE and COVID-19 related products, most specifically for COVID-19 test s…

Read more
  • 0

Henry Schein buys majority of Prism Medical Products

Henry Schein (NSDQ:HSIC) announced that it acquired a majority ownership position in home medical supply maker Prism Medical Products.

Elkin, N.C.-based Prism provides specialty home medical supplies with a core competency in advanced wound care products, according to a news release. The transaction leads Henry Schein Medical to enter an established and growing market for such products.

Prism will operate as a subsidiary of Henry Schein Medical and will be managed separately as an individual division by founder & president Chris Cartwright. The company has more than 200 team members and collected net revenue for the 12 months ended Sept. 30, 2020, of about $52 million.

“I am very proud of all that the team at Prism has accomplished, including our track record of organic revenue growth along with consistent increases in unique referral sources and new patients,” Cartwright said in the release. “We look to the future with excitement and opt…

Read more
  • 0

Henry Schein dips on Q2 losses

Henry Schein (NSDQ:HSIC) shares dipped slightly today on second-quarter losses that still managed to top the consensus forecast.

The Melville, N.Y.-based medical device maker posted losses of -$13.3 million, or -8¢ per share, on sales of $1.7 billion for the three months ended June 27, 2020, for a bottom-line slide into the red from profits of $119.2 million last year. Sales declined by 31.2%.

Adjusted to exclude one-time items, earnings per share came in at $0.00, 12¢ ahead of Wall Street, where analysts were looking for sales of $1.4 billion.

The ongoing COVID-19 pandemic negatively impacted Henry Schein’s quarter, particularly with its dental business, as the company reported a 41.2% drop in sales for that segment. However, the company said in a news release that it saw positive trends as procedures delayed by the pandemic began to slowly trickle back.

“Regarding our second-quarter financial results, COVID-19 significantly impacted our wo…

Read more
  • 0

MedTech 100 roundup: Markets dip again

Medtech stocks continue to fluctuate amid the COVID-19 pandemic, with a significant dip in the shares belonging to the industry’s biggest names.

MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — sat at 81.88 points at the end of last week (June 26). That total represents a -3.7% decrease from the 85.00-point total at the same time a week prior (June 19), demonstrating another downturn after a 3.5% bump just one week before.

Meanwhile, the S&P 500 Index experienced a -2.9% drop from June 19 to June 26, and the Dow Jones Index fared slightly worse with a -3.3% decrease over the same period of time. Both indexes mirrored the medtech industry’s changes, having each posted marginal increases the week before.

Medtech’s lowest point during the COVID-19 pandemic remains at 62.13 on March 23. Since then, the industry’s stocks have experienced 31.8% growth in total. Stocks in the industry remai…

Read more
  • 0

Henry Schein execs extend pay cuts

Henry Schein (NSDQ:HSIC) announced that it is continuing certain cost reduction measures, including payroll cuts, amid the COVID-19 pandemic.

The Melville, N.Y.-based medical device maker said in a news release that chairman and CEO Stanley Bergman agreed to extend his prior agreement to a temporary reduction of 100% of his base salary from April 6, 2020, through the end of the company’s fourth fiscal quarter.

Bergman also agreed that the extension of his salary reduction will not constitute “good reason” or breach under his employment agreement and will not confer or trigger additional rights or entitlements from him or the company or its affiliates.

Four of Henry Schein’s highest-paid executive officers serving as of Dec. 28, 2019, including its CFO, will continue temporary salary reductions at a level of 37.5% from June 29, 2020, the first business day of its third fiscal quarter, until a later date. Previously, they had taken …

Read more
  • 0

U.S. Senators demand investigation of Trump COVID-19 supply chain effort

(Image by Krzysztof Kowalik on Unsplash)

Three U.S. senators today demanded an investigation into Project Air Bridge, a Trump administration supply-chain management project to import personal protective equipment (PPE) and other medical supplies during the COVID-19 pandemic.

Dubbing the project “opaque,” U.S. Senators Elizabeth Warren (D-Mass.), Chuck Schumer (D-N.Y.) and Richard Blumenthal (D-Conn.) also released new documents and information from the six major medical wholesalers or distribution companies involved in the project — Cardinal Health (NYSE:CAH), McKesson, Medline Industries, Henry Schein (NSDQ:HSIC), Owens & Minor (NYSE:OMI) and Concordance Healthcare Solutions.

Warren and Blumenthal began investigating Project Air Bridge in April after multiple reports of seizures of supplies by federal officials and what they characterized in a news release as “political favoriti…

Read more
  • 0