Meridian Bioscience, Inc. (Meridian Bioscience) has reported preliminary revenues for the first quarter of fiscal 2009. For the period, company now expects revenues of about $34,300,000, up 1% over the prior year. Diluted earnings per share for the first quarter of fiscal 2009 are expected to be about $.20, up 11% over the prior year.
The recent strengthening of the dollar will continue to have adverse effect on European Diagnostics sales denominated in the Euro. Natural hedging programs mitigate the impact of currency at the operating income line on a consolidated basis. Customers reducing inventory levels to conserve cash and reduce costs will also likely have a negative effect on fiscal 2009 revenues. As a result of these factors, Meridian is decreasing its revenue outlook range from the previous range of $157 million to $160 million to a revised range of $151 million to $156 million to adjust for these factors. Meridian is maintaining its diluted EPS guidance of $.86-$.90.
During the quarter, sales of the company to its largest distributor were essentially flat. However, shipments to customers from this distributor continued at a double-digit pace. Revenues from the European Diagnostics segment up 1% on a local currency basis but were adversely impacted by lower H.pylori sales in Italy and reflect a 7% decline on a US dollar basis due to the effects of the strengthening dollar. Life Science comparable revenues down 7% due in part to a large order in the first quarter of 2008 that did not repeat this year.