Zimmer Holdings quarterly profit rises 2 percent

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Warsaw-based orthopedic implant maker Zimmer Holdings Inc. said Thursday its first-quarter profit rose 2 percent on higher sales of reconstructive, dental and other products.

The company reported net income of $208.9 million, or $1.08 per share, up from $205.4, or $1.01 per share, a year earlier. Sales rose 5 percent to $1.12 billion from $1.06 billion.

Excluding charges, the company said it earned $1.19 per share. Analysts polled by FactSet expected, on average, earnings of $1.13 per share on $1.09 billion in revenue.

During the quarter, sales of reconstructive products rose 3 percent to $842 million, while dental product sales rose 21 percent to $63.4 million and trauma product sales rose 16 percent to $70.2 million. Meanwhile, spinal unit sales fell 5 percent to $57 million and surgical sales rose 10 percent to $84.3 million.

"Driven by the success of recently launched products, Zimmer delivered solid sales results across all geographic segments in the first quarter, resulting in improved margins and leveraged earnings," said David Dvorak, Zimmer president and CEO, in a statement.

Looking ahead, the company said it still expects 2011 adjusted profit between $4.60 and $4.80 per share with sales growth of 2 to 4 percent on a constant currency basis. Analysts expect profit of $4.71 per share and sales of $4.42 billion.

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