Integra LifeSciences Holdings Corporation (IART) reported earnings for the quarter ending March 31, 2014. Revenues increased $18.4 million over the quarter which reflects an increase of 3%. GAAP net income was $2.2 million compared to a net loss of $6 million this quarter a year ago. Integra continues to expand and grow as they invested $11.3 million in capital expenditures over the quarter.
This quarter Integra practiced a new accounting policy to adjust for the new medical device tax and an updated 2013 financial results using this policy is now on their website. This new policy has no impact on cash flow, but is expected to reduce GAAP net income by approximately $.05 per share for 2014. In addition, their estimated tax rate is to reach 32% for 2014 due to the new tax.
Going forward, Integra’s management estimates 2014 full year revenues to be between $920 and $940 million and a decrease in their earnings guidance due to an increase in amortization expense following the close of the DuraSeal acquisition and an expected spike of the tax rate due to the medical device tax.