Schein Proves Less than Shiny, on Q4 Figures

Henry Schein, Inc. (NASDAQ: HSIC) saw its shares flail Wednesday, on fourth-quarter figures.

The Melville, New York-based Schein, the world's largest provider of health care solutions to office-based dental and medical practitioners, today reported net sales for the quarter ended December 29, 2018 were $3.4 billion, an increase of 1.7% compared with the fourth quarter of 2017.

This consisted of 3.3% growth in local currencies and a 1.6% decline related to foreign currency exchange. In local currencies, internally generated sales increased 2.1% and acquisition growth was 1.2%.

Net income attributable to Henry Schein for the fourth quarter of 2018 was $133.0 million, or $0.87 per diluted share, compared with a prior-year net loss of $8.5 million, or $0.06 per share.

Non-GAAP net income for the fourth quarter of 2018 was $171.6 million, or $1.12 per diluted share, compared with non-GAAP net income of $152.1 million, or $0.97 per diluted share, for the fourth quarter of 2017

CEO Stanley Bergman said, "This has been a historic year at Henry Schein as we further positioned the company to advance our 2018 to 2020 strategic plan.

"This included the creation of our Henry Schein One dental technology business, the spinoff of our animal health business into Covetrus (NASDAQ: CVET) and restructuring efforts, which together are strategically positioning Henry Schein for continued success."

Dental sales of $1.7 billion decreased 0.2%, consisting of 1.8% growth in local currencies and a 2.0% decline related to foreign currency exchange. In local currencies, internally generated sales increased 1.5% and acquisition growth was 0.3%. The 1.5% internal growth in local currencies included 0.6% growth in North America and 2.8% growth internationally.

Shares lost $4.20, or 6.7%, to $58.91