Cardiac Science Stymied

Shares fall after a soft quarter.
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Cardiac Science (CSCX) sank 15% late Wednesday after the defibrillator company missed third-quarter targets.

The Bothell, Wash., company lost $298,000, or a penny a share, for the quarter ended Sept. 30, compared with a year-ago loss of $569,000, or 4 cents a share. Revenue rose to $38.1 million from $27.4 million a year earlier.

The two-analyst Thomson Financial survey called for a 4-cent profit on sales of $42 million.

Inclusive of litigation related expenses and income taxes, the company said it expects fourth-quarter to be around break even.

Cardiac Science expects revenue growth in 2007 to be in a range around 10%.

"We have clearly encountered more challenges this year than we originally expected," CEO John Hinson said. "At the same time, we believe the progress we have demonstrated on several levels, such as overall growth in year to date revenue, dramatic increases in international AED sales, growing momentum in the restructured domestic AED channel and improved performance in both international cardiac monitoring and service, bodes well for our future."

Shares fell $1.29 to $7.50.