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Mesa Labs Reports 18% Increase in Third Quarter Revenues
Date:2/5/2013

he third quarter decreased 11 percent to $1,974,000 or $0.56 per diluted share of common stock as compared to $2,217,000 or $0.63 per diluted share of common stock for the same quarter last year.  Adjusted net income for the third quarter was impacted by $526,000, before tax, of Chief Financial Officer transition costs, which are one-time in nature.  Adjusted net income for the nine months ended December 31, 2012 increased 11 percent to $7,144,000 or $2.03 per diluted share of common stock as compared to $6,427,000 or $1.86 per diluted share of common stock for the same period last year.

"This was a challenging quarter for Mesa," said John J. Sullivan , President and Chief Executive Officer.  "While we experienced excellent revenue growth of 18% over this quarter last year, the growth was largely due to the acquisition of the Bios product line in May of 2012.  Excluding these Bios sales, our traditional businesses were up only one percent over this quarter last year.  Continuing growth of our consumable biological indicators business was offset by weakness in our capital equipment product lines, which was due to a tough economic environment for these products.  Certainly, we benefited this quarter from having a diverse suite of products to offer our customers."

"While our gross margins held up very well this quarter and were unchanged from a year ago, non-recurring operational expenses negatively impacted our profitability and our net income decreased 22%," continued John Sullivan .  "The largest of these non-recurring expenses were those associated with the transition of our Chief Financial Officer position, which totaled $526,000, before tax, this quarter.  All of the costs associated with this transition were expensed in the current quarter, as required, even though some are non-cash, while others will be paid over a 12-month period.  Excluding t
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SOURCE Mesa Laboratories, Inc.
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