DOW JONES NEWSWIRES
Biomet Inc.'s fiscal third-quarter loss narrowed as the company
reported higher revenue and margins, while year-earlier results
were stung by write-downs and merger-related expenses.
Biomet's results are watched closely because it reports before
bigger rivals such as Zimmer Holdings Inc. (ZMH) and Stryker Corp.
(SYK), though the data are an imprecise sector gauge. The maker of
hip- and knee-surgery devices and spinal procedure products was
taken private in 2007.
For the quarter ended Feb. 28, Biomet posted a loss of $33.1
million, compared with a year-earlier loss of $578.3 million. Last
year's losses came amid write-downs and merger-related expenses
even as sales grew. Excluding the write-downs a year earlier and
stock-compensation costs in both periods, Biomet would have
reported a profit of $67.3 million, up from $44.1 million a year
earlier.
Revenue jumped 8.9% to $669.8, and rose 6% excluding the effect
of foreign currency.
Gross margin rose to 70.9% from 69.7%.
In the U.S., where Biomet does most of its business, sales
increased 6%. Reconstructive sales, which make up the vast majority
of Biomet's revenue, climbed 12%, and rose 8% excluding the impact
of currency.
-By Matt Jarzemsky and John Kell, Dow Jones Newswires;
212-416-2240, matthew.jarzemsky@dowjones.com