Pall Management Discusses Q4 2012 Results - Earnings Call Transcript

Pall (PLL)

Q4 2012 Earnings Call

September 13, 2012 8:30 am ET

Executives

Lawrence D. Kingsley - Chief Executive Officer, President and Director

Lisa McDermott - Chief Financial Officer and Treasurer

Analysts

Richard C. Eastman - Robert W. Baird & Co. Incorporated, Research Division

Hamzah Mazari - Crédit Suisse AG, Research Division

Brian Drab - William Blair & Company L.L.C., Research Division

Jonathan P. Groberg - Macquarie Research

Rafael Tejada

Jon Davis Wood - Jefferies & Company, Inc., Research Division

Tracy Marshbanks - First Analysis Securities Corporation, Research Division

Presentation

Operator

Welcome to Pall Corporation's Conference Call and Webcast for the Fourth Quarter of Fiscal 2012. Today's call is being recorded and simultaneously webcast. [Operator Instructions] We'd like to remind you that the company's fourth quarter and full year press release is available at www.pall.com.

Management's remarks this morning will include forward-looking statements. Please refer to Slide 2 or request a copy of the specific wording of this qualification of the company's remarks. Management also uses certain non-GAAP measures to assess the company's performance. Reconciliations of these measures to their GAAP counterparts are included in slides at the end of the presentation.

At this time, I will turn the call over to Mr. Larry Kingsley, Pall Corporation's President and CEO. Please go ahead, sir.

Lawrence D. Kingsley

Good morning, and thanks for joining us. I'm here today with Lisa McDermott, our CFO; and Brent Jones, our VP of Finance.

Our remarks this morning will be on a continuing operations basis, which excludes the results of the Blood product line, which we divested on August 1. I know that most of you have read our release and know the key headline. We executed a strong fourth quarter and turned in very solid results for the full year. Our pro forma EPS was a record $0.99 or $0.86 excluding Blood, and our full year results met the midpoint of our original guidance at the beginning of the year, and that's despite second half economic and FX headwinds. While the sales result for the quarter was strong, our cost to serve, essentially the cost to catch up from Q3, remained high.