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Greatbatch records 26 percent increase in profits

Greatbatch Inc. recorded a 26 percent increase in its third-quarter profits from a year ago, to $14 million, with its sales bolstered by an August acquisition.

Thomas J. Hook, Greatbatch’s president and chief executive officer, said the maker of medical devices and batteries “delivered a solid quarter while continuing to invest in our global growth strategy.” Its diluted earnings per share was 54 cents, compared to 44 cents a year ago.

Greatbatch’s sales increased 2 percent from a year ago, to $172 million. That total included about $1.6 million from CCC Medical Devices, which Greatbatch acquired in August.

Among the sales highlights was a 21 percent increase in vascular product sales, helped by the relaunch of medical devices that were voluntarily recalled near the end of 2012, and an 8 percent increase in its orthopaedic product sales. Greatbatch’s sales of portable medical devices were down 11 percent. In that segment, Greatbatch is refocusing on more profitable products and plans to transfer its portable medical operations to a new facility in Mexico. That transfer is expected to be completed in late 2015, Hook said.

Greatbatch is headquartered in Texas and has 3,400 employees worldwide, including about 750 in the Buffalo Niagara region. The company has one manufacturing plant each in Alden and Clarence, plus a research and development and administrative facility in Clarence.

Greatbatch revised its 2014 full-year revenue guidance to a range of $695 million to $705 million, from its previous range of $685 million to $705 million. It also raised its 2014 adjusted diluted earnings per share guidance range to $2.32 to $2.38 per share, from a previous range of $2.25 to $2.35 per share.

Shares closed up 63 cents, or 1.31 percent, to $48.87 on Thursday.

email: mglynn@buffnews.com