American Medical Systems Holdings, Inc. (AMMD) reported strong preliminary revenues for the fourth quarter and full fiscal 2009. For the fourth quarter, total revenues were $146.0 million, an increase of 9% year over year. Excluding a favorable foreign exchange translation (FX), net sales increased 6.1% year over year. Total revenues in the fourth quarter were ahead of American Medical’s previous guidance of $136 million to $142 million.
For full fiscal 2009, American Medical Systems reported total revenues of $519.3 million, an increase of 3.5% year over year. Excluding an unfavorable FX, net sales increased 5.2% year over year.
In the fourth quarter, sales growth was witnessed across all business segments. Men’s Health sales increased 8.2% year over year to $63.5 million. Growth was primarily due to strong demand for the company’s erectile restoration products, partly offset by lower demand in male continence products.
Women’s Health sales increased 8.9% year over year to $49.2 million. Growth can be attributed to higher demand for Pelvic Floor Repair products, partly offset by lower sales of female continence and uterine health products. BPH therapy revenues increased 10.3% year over year to $33.3 million, primarily due to higher demand for the company’s products in the U.S. International markets also demonstrated significant improvements in this segment, mainly in the Asia Pacific and Latin American markets.
On a geographic basis, the U.S. contributed 72% to total fiscal 2009 revenues and increased 5.1% year over year. International sales declined 0.4% year over year.
Based on strong preliminary revenues, American Medical Systems raised its adjusted earnings per share guidance for the fourth quarter and full fiscal 2009. For the fourth quarter, adjusted earnings per share are estimated in the range of 32 cents to 35 cents, compared to the previous guidance of 29 cents to 33 cents. For full fiscal 2009, adjusted earnings per share are estimated in the range of $1.12 to $1.15, compared to the previous guidance of $1.10 to $1.14.
Headquartered in Minnetonka, Minnesota, American Medical Systems is a world leader in medical devices and procedures used to treat erectile dysfunction and other men’s and women’s health problems. Other men’s health problems include incontinence, benign prostate hyperplasia, and stricture. Women’s health problems include menorrhagia (excessive bleeding during menstruation), incontinence, and other pelvic floor defects. Primary competitors for American Medical Systems are Johnson & Johnson (JNJ) and Boston Scientific Corporation (BSX).
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