Covidien PLC: Gets 3Q profit

Covidien said it earned $364 million, or 72 cents per share, in the quarter ended June 25. A year earlier this figure has gone up from $281 million, or 56 cents per share. The company has reported a profit of 85 cents per share from continuing operations – this is keeping aside one-time items like restructuring and transaction costs. Revenue edged up 2 percent, to $2.56 billion from $2.52 billion.

Covidien is a large global healthcare company committed to sustaining strong margins and cash flows while making investments for growth. They are leading manufacturers of medical devices and supplies, diagnostic imaging agents and pharmaceuticals, with 2009 revenue of $10.7 billion and industry-leading profit margins. Medical Devices includes endomechanical, soft tissue repair, energy, oximetry and monitoring, airway and ventilation, vascular and other products. Pharmaceuticals include specialty pharmaceuticals, active pharmaceutical ingredients, specialty chemicals, contrast products and radiopharmaceuticals. Medical Supplies comprises of nursing care, medical surgical, SharpSafety and OEM products.

As per Thomson Reuters, analysts were forecasting a profit of 80 cents per share and $2.61 billion in revenue.

The Dublin, Ireland, company said its medical device revenue rose 6 percent to $1.63 billion, aided by greater sales of endomechanical and energy products and vascular devices. Pharmaceutical revenue slid 6 percent to $507 million because of declining U.S. sales, and medical supply revenue declined 3 percent to $427 million.

In the second quarter of 2009, acquiring VNUS Medical Technologies, Covidien took a research and development charge of 12 cents per share after. That and other charges reduced its profit by 20 cents per share.

The company launched the chronic pain drug “Exalgo” and the osteoarthritis drug Pennsaid in late April after regulators granted marketing clearance. Covidien said both drugs are selling well and helping the company earn profits. When its fiscal fourth quarter ends, the company also said it aims to sell its specialty chemicals business by late September.