Shares of medical device maker AngioDynamics (ANGO) - Get AngioDynamics, Inc. Report declined significantly Thursday after the company updated its full-year earnings guidance following an acquisition.
The company announced the purchase of Israeli laser company Eximo for $46 million up front, with up to another $20 million if Eximo meets technical and revenue milestones.
AngioDynamics said that it now expects earnings per share for fiscal 2020 to range between 10 cents and 15 cents a share. Analysts were expecting the company to report earnings of 26 cents.
"The acquisition of Eximo brings a remarkable, foundational technology to our portfolio that will change the way caregivers deliver treatment to patients with PAD," said Angio CEO Jim Clemmer. "The market is ripe for disruption, and the level of precision, safety, and efficiency offered to physicians by this laser technology creates a substantially differentiated alternative to legacy atherectomy devices."
Separately, the company also reported first-quarter revenue of $66 million and earnings of 8 cents a share. Analysts were expecting AngioDynamics to report revenue of $67.52 million and earnings of 4 cents.
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