Varian Medical Q1 Profit Meets Street, Outlook Weak

(RTTNews) - Varian Medical Systems Inc. (VAR) Wednesday reported first-quarter net income of $98 million or $0.91 per share compared with $95.3 million or $0.86 per share last year.

Revenues for the quarter were $711.5 million compared with $678.4 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.91 per share on revenues of $718.15 million for the quarter. Analysts' estimates typically exclude special items.

Continued demand for Oncology services and X-ray imaging components drove growth in revenues during the quarter, the company said.

Varian ended the first quarter with a $2.8 billion backlog, down 1 percent from last year.

Looking ahead to the second quarter, Varian expects net earnings of $1 to $1.04 per share and revenues to be about equal to the year-ago quarter's 768.40 million. Analysts expect earnings of $1.10 per share on revenues of $808.03 million.

For fiscal 2014, Varian expects net earnings of $4.22 to $4.34 per share and revenues to grow 6 to 8 percent. Analysts expect earnings of $4.31 per share on revenue growth of 6.7 percent.