NEW YORK — PerkinElmer said on Monday that its first quarter 2020 revenues and EPS are expected to be below previous company estimates on softness in the China market.
The Waltham, Massachusetts-based firm had said in January during its fourth quarter and full-year 2019 earnings announcement that revenues for Q1 2020 would be $700 million, while EPS from continuing operations were anticipated to be $.33. Adjusted EPS from continuing operations were estimated at $.70.
In a statement on Monday, PerkinElmer President and CEO Prahlad Singh said that the firm saw "significant deterioration" in demand in China during February due to the extended Lunar New Year holiday, as well as "ongoing and protracted commercial disruptions" stemming from the novel coronavirus, SARS-CoV-2.
"While we have yet to see significant disruption outside of China, we are keenly monitoring the recent virus-related developments across the globe," Singh said, adding that an increase in SARS-CoV-2 transmission rates "could further impact our current and future financial performance. The situation remains highly fluid, and we are evaluating how much revenue we expect to recapture over the remainder of 2020."
PerkinElmer is scheduled to release its Q1 financial results on May 5. It plans on providing an update on the potential effects of the coronavirus on full-year 2020 results then.
In early morning trading on the Nasdaq Monday, shares of PerkinElmer were down almost 7 percent to $77.68 per share.