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COLORADO SPRINGS, Colo., April 7, 2014 (GLOBE NEWSWIRE) -- The Spectranetics Corporation (Nasdaq:SPNC) today announced preliminary results for the three months ended March 31, 2014. The company will provide a full report on the financial results for the first quarter of 2014, and conduct a conference call with investors, on April 23, 2014. Spectranetics expects to report the following results for its first quarter of 2014, all compared with the three months ended March 31, 2013:
Revenue of $39.6 million, up 5%
Vascular Intervention revenue grew 16%, led by U.S. peripheral atherectomy revenue growth of 29%
Lead Management revenue decreased 4% (5% constant currency 1)
Laser, Service & Other revenue decreased 5% (6% constant currency)
U.S. revenue grew 3% to $31.8 million; International revenue grew 14% (11% constant currency) to $7.8 million
Gross margin of 74% compared with 72.6%
"In the first quarter, we continued our track record of strong performance in the Vascular Intervention business, highlighted by U.S. peripheral atherectomy growth of 29%. We are, however, disappointed with our results in Lead Management, which led to overall revenue falling below expectations. We attribute the weakness primarily to temporary disruption associated with the expansion of the U.S. Lead Management sales team. We are taking immediate action to return Lead Management to growth in the second half of 2014, driven by a return to double digit growth in the fourth quarter," said Spectranetics President and Chief Executive Officer, Scott Drake.
"Our revised outlook reflects the near-term execution challenges in our U.S. Lead Management business. We are confident in the long-term strength of this business, due to the ramp up of our sales force expansion, launch of mechanical tools and improved commercial execution. Traction in our Vascular business is steadfast. Early success with the EXCITE In-Stent Restenosis trial and the submission of our 510(k) filing for the ISR indication are critical steps to accelerating top line growth, expanding gross margins and achieving meaningful operating leverage."