Alere Inc (ALR) swung to a net profit for the quarter ended Sep. 30, 2016. The company has made a net profit of $21.82 million, or $ 0.19 a share in the quarter, against a net loss of $2.32 million, or $0.10 a share in the last year period. Revenue during the quarter dropped 3.55 percent to $582.35 million from $603.77 million in the previous year period. Gross margin for the quarter contracted 17 basis points over the previous year period to 45.70 percent. Total expenses were 99.41 percent of quarterly revenues, up from 94.85 percent for the same period last year. That has resulted in a contraction of 456 basis points in operating margin to 0.59 percent.
Operating income for the quarter was $3.43 million, compared with $31.08 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $63.60 million compared with $135.50 million in the prior year period. At the same time, adjusted EBITDA margin contracted 1152 basis points in the quarter to 10.92 percent from 22.44 percent in the last year period.
Working capital increases
Alere Inc has recorded an increase in the working capital over the last year. It stood at $804.70 million as at Sep. 30, 2016, up 5.78 percent or $44 million from $760.69 million on Sep. 30, 2015. Current ratio was at 2.14 as on Sep. 30, 2016, up from 1.68 on Sep. 30, 2015. Days sales outstanding were almost stable at 71 days for the quarter, when compared with the last year period.
Days inventory outstanding has decreased to 51 days for the quarter compared with 103 days for the previous year period.
Debt comes down
Alere Inc has recorded a decline in total debt over the last one year. It stood at $2,958.24 million as on Sep. 30, 2016, down 17.64 percent or $633.51 million from $3,591.75 million on Sep. 30, 2015. Total debt was 50.52 percent of total assets as on Sep. 30, 2016, compared with 54.63 percent on Sep. 30, 2015. Debt to equity ratio was at 1.44 as on Sep. 30, 2016, down from 1.71 as on Sep. 30, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
