Steris sticks by EPS guidance amid additional currency headwinds

Steris (NYSE: STE) reported mixed third-quarter results, but it held the line on EPS guidance amid additional foreign currency headwinds.

The provider of sterilization services and other infection prevention tech lost $315.2 million, or $3.15 per share, off $1.20 billion in revenue for the quarter ended Sept. 30, 2022. Steris swung to a loss versus Q3 2021, when it earned $69.8 million, or 69¢ per share. Revenue was up 0.3%.

Adjusted to exclude one-time items, Steris had earnings per share of $1.99. The result was a penny ahead of The Street, where analysts expected EPS of 98¢. However, revenue was slightly down from analysts’ $1.22 billion prediction.

Some supply chain relief for Steris

“We are pleased with our operational performance in the quarter, which reflected solid constant currency organic revenue growth in a challenging environment,” CEO Dan Carestio said in a news release out yesterday evening.

“As anticipated, we saw some relief …

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Steris plans to build a new medical device testing facility

Steris released this rendering of the medical device testing facility it plans to open in Leipzig, Germany. [Image courtesy of Steris]

Steris (NYSE: STE) plans to build a new packaging and microbiological testing facility for medical devices in Leipzig, Germany.

The facility will offer packaging testing services such as accelerated and real-time aging, transportation and integrity testing. The new location will also offer microbiological testing in collaboration with the medical device manufacturer and sterilizer’s laboratory in Radeberg.

Steris said the Leipzig packaging testing services will complement existing services offered in Galway, Ireland, and Brooklyn Park, Minnesota.

RELATED: Steris stock downgraded as analysts expect lawyers to seek more ethylene oxide lawsuits

“This investment furthers our commitment to supporting medical device manufacturers throughout all stages …

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Steris stock downgraded as analysts expect lawyers to seek more ethylene oxide lawsuits

Steris (NYSE: STE) stock was downgraded today by Needham from buy to hold following the $363 million jury verdict against its primary competitor, Sterigenics, over ethylene oxide (EtO) emissions.

Needham analysts said they expect attorneys to target communities near EtO facilities with ads to find people willing to file more lawsuits against sterilization plant operators past and present.

RELATED: EPA flags high-cancer-risk EtO sterilization facilities across the country

The analysts believe Steris can manage any EtO legal liabilities due to the company’s size, diversification and balance sheet, but said investors are looking forward to Steris estimating and reserving cash for potential liabilities.

“Since breast and blood cancers are relatively common, we worry that attorneys could have success in finding additional people willing to file more lawsuits,” the analysts wrote. “We expect the risk of lawsuits and any n…

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FDA reports sterilization challenge progress as EPA takes aim at EtO emissions

Ethylene oxide (EtO) gas can penetrate paper and cardboard, doesn’t discolor or harm plastics used in many devices, and can sterilize truckloads of devices at one time. [Photo courtesy of the FDA]

The FDA offered an update on its efforts to make medical device sterilization safer as the EPA identified 23 U.S. facilities where use of ethylene oxide (EtO) presents a risk to communities.

The FDA said it is similarly concerned about unsafe EtO emissions and highlighted work with the medical device industry to reduce EtO usage and develop new sterilization methods.

Those innovation challenges are making “encouraging progress,” FDA said, with some facilities cutting EtO emissions by an estimated 20% to 35%.

“In general, manufacturers are targeting an ethylene oxide cycle concentration that is 11-66% less than the typical ethylene oxide concentration range,” the FDA said in a news…

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Steris shares drop on Q1 swing-and-miss, lowered outlook

Steris (NYSE:STE) posted first-quarter results today that fell short of the consensus forecast on Wall Street and reduced its outlook for the rest of the year, despite swinging to a profit from a loss a year ago.

The infection prevention technology company — headquartered in Dublin, Ireland, and run operationally out of Mentor, Ohio — reported profits of $111.3 million, or $1.11 per share, on sales of $1.16 billion for the three months ended June 30, 2022. Sales increased 19% compared to the same quarter last year, in which the company reported a $21.8 million loss.

Adjusted to exclude one-time items, earnings per share were $1.90, a penny short of Wall Street, where analysts were looking for EPS of $1.91 on sales of $1.22 billion.

“We are pleased with our operational performance in the quarter, which reflected solid constant currency organic revenue growth despite supply chain challenges,” Steris President and CEO Dan Carestio said in a news release. “D…

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Steris rises on Street-beating Q4, sets fiscal 2023 guidance

Steris (NYSE:STE) shares ticked up today on fourth-quarter financial results that came in just ahead of the consensus forecast.

The infection prevention technology company — headquartered in Dublin, Ireland and run operationally out of Mentor, Ohio — posted profits of $52.3 million, or 52¢ per share, on sales of $1.2 billion for the three months ended March 31, 2022, for a 40.2% bottom-line slide on sales growth of 37.4%.

Adjusted to exclude one-time items, earnings per share were $2.04, 2¢ ahead of Wall Street, where analysts were looking for sales of $1.19 billion.

The company’s healthcare segment’s revenues grew by 32% year-over-year, while applied sterilization technologies grew by 19% and life sciences grew by 15%. Dental revenues of $105.7 million were below expectations primarily due to COVID-19 impacts on patient volumes and higher supply chain and inflationary costs.

“We are pleased to end the year with strong performance in t…

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Steris up on Street-beating Q3 results

Steris (NYSE:STE) reported fiscal third-quarter results that beat the consensus forecast on Wall Street, upping its fiscal 2022 forecast.

The infection prevention technology company — headquartered in Dublin, Ireland and run operationally out of Mentor, Ohio — earned $143.6 million, or $1.42 per share, off $1.2 billion in revenue for the quarter ended Dec. 31, 2021. The results, posted yesterday evening, represented 25% bottom-line growth and 49% top-line growth compared with the previous Q3.

Adjusted to exclude one-time items, earnings per share were $2.12, 16¢ ahead of The Street, where analysts were looking EPS of $1.96 on sales of $1.19 billion.

“While supply chain and inflation continue to be a challenge, our teams have worked to manage through with minimal impact on our ability to serve our customers,” Steris CEO Dan Carestio said in a news release.

Steris said it expects to log adjusted EPS of $7.85–7.95 this fiscal year, up from prio…

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Medtech M&A: The industry’s biggest mergers and acquisitions of 2021

[Image from Jp Valery on Unsplash]

Across 2021, medtech has seen a wide range of mergers and acquisitions covering several areas of devices, pharmaceuticals and more.

Some have gone off without a hitch, while others fell into serious scrutiny as mouthwatering financial figures were revealed and major technologies were acquired.

Here are the 10 biggest mergers and acquisitions in medtech in 2021:

Next>>

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STERIS and H+E Pharma partner on clean utility water systems

STERIS (Menton, Ohio) and H+E Pharma (Stuttgart, Germany) will collaborate on designing, installing and maintaining utility water systems for the pharma sector and other life science applications in Europe.

The partnership will provide end-to-end, turnkey clean utility water systems. “We can now provide our broad portfolio of Finn-Aqua products, alongside H+E’s engineering expertise to offer pre- and post-treatment purified water (PW) and [water for injection] WFI systems that use an environmentally sustainable design and provide the lowest total cost of ownership throughout the lifecycle of the system,” said Steve Schultz, vice president, global accounts of STERIS Life Sciences, in a statement.

H+E Pharma is the result of a joint venture between industrial water treatment specialist H+E GmbH and AUSTAR Group, a Hong Kong–based pharmaceutical engineering solution provider.

STERIS notes that it can be a single point of contact for such projects.

ST…

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Steris launches two new vaporized hydrogen peroxide biodecontamination systems

The VHP 100i (left) and 1000i (right) systems [Image courtesy of Steris]

Steris has launched the next generation of its vaporized hydrogen peroxide (VHP) biodecontamination systems to achieve 6-log bioburden reduction in good-manufacturing-practice pharmaceutical, medical device and research environments.

It’s possible to integrate the new VHP 100i and 1000i systems into a facility’s building automation and HVAC systems, running a decontamination cycle at programmed intervals or at the push of a button. The result, according to Steris, is easy and frequent decontamination of rooms, isolators, filling lines, RABs, pass-through chambers and more.

“The new VHP systems incorporate input received at thousands of VHP customer sites on five continents,” said Andrea Conroy, VP of marketing for Life Science Equipment and Service at Steris, said in a Sept. 9 news release. “They are engineered to streamline…

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Steris launches two new vaporized hydrogen peroxide biodecontamination systems

The VHP 100i (left) and 1000i (right) systems [Image courtesy of Steris]

Steris has launched the next generation of its vaporized hydrogen peroxide (VHP) biodecontamination systems to achieve 6-log bioburden reduction in good-manufacturing-practice pharmaceutical, medical device and research environments.

It’s possible to integrate the new VHP 100i and 1000i systems into a facility’s building automation and HVAC systems, running a decontamination cycle at programmed intervals or at the push of a button. The result, according to Steris, is easy and frequent decontamination of rooms, isolators, filling lines, RABs, pass-through chambers and more.

“The new VHP systems incorporate input received at thousands of VHP customer sites on five continents,” said Andrea Conroy, VP of marketing for Life Science Equipment and Service at Steris, said in a Sept. 9 news release. “They are engineered to streamline t…

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These 5 medtech companies made it into the top 200 of Forbes’ best places to work list

Johnson & Johnson, Steris, Philips, Fujifilm Holdings and Boston Scientific were recently named among Forbes’ best large employers in America, based on feedback from their employees.

Forbes partnered with a market research firm to survey 50,000 Americans working for businesses with at least 1,000 employees. Survey participants were asked to rate their willingness to recommend their employer to friends and family and to nominate a business that wasn’t their own.

Johnson & Johnson (NYSE:JNJ) ranked 84 out of the full list of 500. The New Brunswick, N.J.-based company has a 4.2 out of 5-star rating on the job board website Glassdoor. Johnson & Johnson, founded in 1886, employs over 132,000 people. Its medical device segment generated $25.96 billion in revenue in 2019.

Mentor, Ohio-based Steris (NYSE:STE) ranked 105 on Forbes’s list of the best large employers in America. The company has a 3.6 out of 5-star rating on Glassdoor. …

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