Hologic ($HOLX) recorded a huge drop in net income in the fiscal fourth quarter, but the company says revenue from its $3.8 billion acquisition of Gen-Probe will make for a more profitable 2013.
The diagnostics company took a $77.8 million loss on the quarter, down from $27.6 million in net income in the same period last year, a drop the company blames mostly on one-time charges related to the Gen-Probe buy. Hologic pulled in $588.5 million in revenue, up 26% over the previous year thanks to $89.5 million in Gen-Probe sales booked since the deal closed in August.
Hologic reported growth in all of its business segments, with the largest in its diagnostics division, which grew 56% to $235.5 million on the quarter. The company credits expanded sales for its ThinPrep platform and molecular diagnostics products, but the segment's growth would have been just 9% if not for the integration of Gen-Probe's offerings.
When Hologic took the billion-dollar plunge into Gen-Probe, it said the acquisition would make it the market leader in diagnostics for STDs and women's health. The Q4 numbers reflect only two months of Hologic's expanded business model, and the post-acquisition future is bright for Hologic, CEO Rob Cascella said.
"The addition of the Gen-Probe product line establishes Hologic as a leader in the diagnostics market," Cascella said in a statement. "With our current portfolio, development pipeline and established global infrastructure, we are well-positioned for continued growth in fiscal 2013 and beyond."
- read Hologic's release