PerkinElmer said Monday it expects organic sales and adjusted profit to top its previous third-quarter expectations, and PKI stock jumped.
The medical-research company called for organic revenue growth — including sales not tied to its Covid work — and adjusted earnings per share to come in above its prior guidance. Meanwhile, PerkinElmer expects total revenue to be at the high end of its previous outlook, coming short of exceeding it due to exchange-rate headwinds.
On today's stock market, PKI stock surged 5.4% to 126.63.
PKI Stock: Exchange Rates Still A Challenge
Previously, PerkinElmer called for $1.02 billion to $1.03 billion in sales in the third quarter and expected to earn $1.40-$1.45 per share, on an adjusted basis. At the midpoint, sales would sink more than 12% and earnings would tumble 38%.
The lackluster guidance followed a challenging second quarter for numerous medical companies, whose operations took a hit amid the unusually strong dollar. PKI stock analysts now forecast adjusted income of $1.44 per share and $1.02 billion in sales.
PerkinElmer noted the exchange-rate headwinds are expected to continue.
And PKI stock remains under pressure. Shares fell below their 50-day moving average in August, according to MarketSmith.com.
Follow Allison Gatlin on Twitter at @IBD_AGatlin.
