Varex Imaging Announces Financial Results For Third Quarter Of Fiscal Year 2019

About this update from Varex Imaging Corporation

[{"type":"text","content":"SALT LAKE CITY, Aug. 6, 2019 /PRNewswire/ -- Varex Imaging Corporation (Nasdaq: VREX) today announced its financial results for the third quarter of fiscal year 2019.\n\n \nQuarterly Highlights\nRevenues increased 3% to $197 million Gross margin was 31% | Adjusted gross margin* was 34% Operating earnings margin was 2% | Adjusted operating earnings margin* was 9% Net earnings were $(0.04) per diluted share | Adjusted net earnings* were $0.24 per diluted share\"Our business had solid gains in revenues in the third quarter, and operating earnings comparable to the prior year quarter. Quarterly revenues were up 3% led by record-level global CT tube sales and double-digit sales growth in products for the oncology and mammography imaging markets. The Direct Conversion acquisition we completed early in the third quarter contributed approximately $2 million of revenues, as expected, and integration activities are well underway. Offsetting these revenue gains were significantly lower sales of radiographic detectors,\" said Sunny Sanyal, Chief Executive Officer of Varex.\nIn the third quarter, Varex recorded $7 million of restructuring and impairment charges in connection with the recently announced plans to close its Santa Clara facility. These charges, as well as higher tax expense, contributed to a net loss for the quarter.\nThird Quarter Fiscal Year 2019 Results\nRevenues for the third quarter of fiscal year 2019 increased 3% to $197 million from $191 million in the prior year quarter. Medical segment revenues increased 3% to $152 million and Industrial segment revenues increased 3% to $45 million from the prior year quarter.\nGross margin for the third quarter of fiscal year 2019 was $61 million, or 31% of revenues, compared to $63 million, or 33% of revenues, in the prior year quarter. Adjusted gross margin* was $67 million, or 34% of revenues, compared to $67 million, or 35% of revenues, in the prior year quarter. \nFor the third quarter of fiscal year 2019, both R&D investment and SG&A expense were consistent with the prior year quarter.\nOperating earnings for the third quarter of fiscal year 2019 were $5 million compared to operating earnings of $7 million in the prior year quarter. Adjusted operating earnings* were $19 million, approximately the same as the prior year quarter.\nTax expense for the third quarter of fisca...

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