STERIS Announces Financial Results for Fiscal 2021 Second Quarter

• Second quarter revenue increases 3% as reported; 2% constant currency organic
• Second quarter earnings per diluted share increase to $1.23 on a U.S. GAAP basis and $1.48 on an adjusted basis
• Increased cash flow driven by net income growth and working capital improvements

DUBLIN, IRELAND , Nov. 02, 2020 (GLOBE NEWSWIRE) --  STERIS plc (NYSE: STE) (“STERIS” or the “Company”) today announced financial results for its fiscal 2021 second quarter ended September 30, 2020.  Revenue as reported for the quarter increased 3% to $756.1 million compared with $736.8 million in the second quarter of fiscal 2020, with growth in Life Sciences and Applied Sterilization Technologies somewhat offset by a decline in Healthcare. Constant currency organic revenue (see Non-GAAP Financial Measures) increased 2% for the second quarter of fiscal 2021.

“Our second quarter results demonstrate the resilience of our business and the good work by STERIS Associates,” said Walt Rosebrough, President and Chief Executive Officer of STERIS.  “Our revenue growth reflects the improvement in procedure volumes during the quarter as well as continued strength in segments with exposure to COVID-19 related products and services.  Although our first half performance has exceeded our expectations, due to the continued uncertainty surrounding COVID-19, we are not providing guidance at this time.”

As reported net income for the second quarter increased to $105.9 million or $1.23 per diluted share, compared with $94.8 million, or $1.11 per diluted share in the second quarter of fiscal 2020.  Adjusted net income (see Non-GAAP Financial Measures) for the second quarter of fiscal 2021 increased to $127.3 million, or $1.48 per diluted share, compared with the previous year’s second quarter of $113.1 million or $1.32 per diluted share. 

Second Quarter Segment Results

Healthcare revenue as reported declined 3% in the quarter to $470.9 million compared with $485.3 million in the second quarter of fiscal 2020. This performance reflected a 6% increase in consumable revenue and flat service revenue offset by a 14% decline in capital equipment revenue.  Constant currency organic revenue also declined 3% during the quarter.  Healthcare operating income was $104.8 million compared with $103.0 million in last year’s second quarter. The increase in profitability was primarily due to lower operating expenses due to business disruption from COVID-19.