Accredo's Fourth-Quarter Earnings Up Sharply

Accredo Health's ( ACDO) fourth-quarter earnings rose sharply from a year ago despite a big restructuring charge, beating First Call/Thomson Financial estimates significantly. The addition of new products contributed to the company's increased earnings.

Including the charge, the company earned $7.7 million, or 27 cents a share, in the quarter ended June 30, up from $4.9 million, or 18 cents a share, a year ago. Revenue rose to $188.2 million from $124.4 million a year ago

Before restructuring charges, the company earned $10.0 million, or 36 cents a share, and excluding the results of its recently acquired Specialty Pharmaceutical Services division, the company earned $8.72 million, or 32 cents a share. First Call/Thomson Financial analysts had predicted the company to earn 29 cents a share.

The company said gross profit margins increased to 18.6% for the latest quarter compared with a 14.8% improvement in last year's comparable quarter.

Restructuring charges included a $3.55 million software write-off and $340,000 in lease commitments that will be abandoned because the company will join facilities with SPS.

Looking ahead, Accredo confirmed that it expects to have $1.45 billion to $1.5 billion in revenue for the year and an EPS of $1.87 to $1.97 a share. First Call/Thomson Financial analysts have predicted the company to earn 36 cents a share for the first quarter and $1.94 for the year.

The shares were recently rising 35 cents to $53.31.

More from Technology

EU Apple Users Can Now Download All the Info It Has on Them

EU Apple Users Can Now Download All the Info It Has on Them

Did Trump Just Torpedo the Stock Market Again?

Did Trump Just Torpedo the Stock Market Again?

Venture Capital Funding Surges 49% as Tech Innovation Piques Investor Interest

Venture Capital Funding Surges 49% as Tech Innovation Piques Investor Interest

10 Questions for PayPal Ahead of Its Big Investor Day

10 Questions for PayPal Ahead of Its Big Investor Day

How the Public Really Feels About Autonomous Driving Right Now

How the Public Really Feels About Autonomous Driving Right Now