Business
UTMD Reports Financial Performance for Third Quarter and Nine Months of Year 2019
Salt Lake City, Utah, Oct. 24, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE – In the third calendar quarter (3Q) and first nine months (9M) of 2019, Utah Medical
About this update from Utah Medical Products, Inc.
[{"type":"text","content":"Salt Lake City, Utah, Oct. 24, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE – In the third calendar quarter (3Q) and first nine months (9M) of 2019, Utah Medical Products, Inc. (Nasdaq: UTMD) attained results which reflect that the Company is likely to exceed its overall revenue growth goal, but fall somewhat short of its gross profit and therefore bottom line goal for the calendar year as a whole. \n Currencies in this release are denoted as $ or USD = U.S. Dollars; AUD = Australia Dollars; £ or GBP = UK Pound Sterling; C$ or CAD = Canadian Dollars; and € or EUR = Euros. Currency amounts throughout this report are in thousands, except per share amounts and where noted. A comparison of 3Q and 9M 2019 results with the results in the same periods of 2018, according to U.S. Generally Accepted Accounting Principles (US GAAP), are masked by the 3Q 2018 favorable adjustment to UTMD’s initial provisional estimate of its “one time” U.S. repatriation (REPAT) tax liability resulting from the “Tax Cuts and Jobs Act” (TCJA) enacted in December 2017. UTMD’s initial estimate of the combined Federal and Utah State REPAT tax was $6,288, recorded in 4Q 2017 financial results, the period in which the TCJA was enacted by Congress. In 3Q 2018, after more IRS information became available and when UTMD’s independent tax advisors completed the 2017 income tax return, it became known to the Company that the REPAT tax liability was $3,058, resulting in a favorable $3,230 adjustment to UTMD’s 3Q 2018 income tax provision. UTMD management believes that the presentation of results excluding the favorable REPAT tax liability adjustment to its 3Q 2018 and 9M 2018 income tax provision provides meaningful supplemental information to both management and investors that is more clearly indicative of UTMD’s operating results in 2019 compared to 2018. The exclusion only affects Net Income and Earnings Per Share. Summary of Financial ResultsIn USD terms, changes in 3Q and 9M 2019 consolidated US GAAP income statement results compared to the same time periods in the prior calendar year were as follows: 3Q(July – September)9M(January – September)Sales:+ 20%+ 9%Gross Profit:+ 17%+ 7%Operating Income: ( 1%)(10%)Net Income: (45%)(32%)Earnings Per Share: (45%)(31%) Excluding the 3Q 2018 REPAT tax provision adjustment, the resulting non-GAAP Net Income and Earnings Per Share ...