PSS World 4th-qtr profit climbs, but results miss estimates; shares fall

PSS World Medical 4Q profit climbs 20 percent

JACKSONVILLE, Fla. — Medical products distributor PSS World Medical Inc. said Wednesday that its fiscal fourth-quarter profit rose 20 percent because the latest quarter had more selling days than the same period last year.

For the period ended April 2, PSS World’s profit grew to $16.5 million, or 28 cents per share, from $13.8 million, or 23 cents per share, in the comparable quarter of the prior year. Revenue increased 6 percent to $496.9 million from $469.7 million, as the latest quarter was five days longer than the first quarter of 2009.

Analysts projected profit of 30 cents per share and revenue of $517 million, according to a Thomson Reuters survey.

PSS World said sales were hampered by this year’s mild flu season and harsh winter weather. Revenue at PSS World’s physician business grew 5.2 percent and elder care revenue rose 6.6 percent. Excluding the extra selling days in the latest quarter, revenue at both businesses decreased.

The company said sales fell 2.4 percent if the additional selling days are excluded.

For the full year, PSS World said it earned $69.4 million, or $1.18 per share, on $2.06 billion in revenue. In the previous year, the company recorded profit of $51.5 million, or 85 cents per share, on revenue of $1.95 billion.

For fiscal 2011, the company expects profit of $1.27 to $1.31 per share, including one-time items. Analysts project profit of $1.39 per share, but analyst projections typically exclude one-time items.

In aftermarket trading, PSS World stock fell 95 cents, or 4.1 percent, to $22.50. The stock earlier added 25 cents to end regular trading at $23.45. The stock has ranged from $15.36 to $24.45 over the past year.

(This version CORRECTS 1Q to 4Q in headlines, CLARIFIES fiscal 2011 guidance comparison in paragraph 7.)