Heska revenues climb 62% year-over-year but posts loss

LOVELAND — The COVID-19 pandemic doesn’t appear to be hampering Heska Corp. (Nasdaq: HSKA), which had overall revenues increase 62.4% between last quarter and the same period last year. The Loveland veterinary diagnostics company posted $45.71 million in overall revenue in its earnings report Tuesday morning, beating Wall Street consensus estimates from finance site Seeking Alpha by $5 million. Heska said the growth was primarily driven by a 9.8% increase in North American sales year over year, which CEO Kevin Wilson attributed a near-return to normal demand for vet care services despite the ongoing pandemic. “Veterinary hospital businesses are healthy, and they continue to grow their Heska utilization because they and pet families need, now more than ever, our critical service and great value,” Wilson said in a prepared statement. Wilson does not expect COVID-19 to cause any major supply chain shake-ups for the company through 2020. However, Heska posted an overall loss of $6.4 million in the quarter for a loss-per-share of 72 cents. That was attributed to one-time costs for its $110 million acquisition of scil animal care company GmbH this year. At the time, Heska estimated the acquisition would give it control of 40% of the German and Spanish veterinary diagnostics market and a third of France’s market share.
Source: BizWest