CLEVELAND - Sotera Health Company (NASDAQ:SHC) reported second-quarter results that beat analyst expectations, as the sterilization and lab testing services provider saw growth across all three of its business segments.
The company posted adjusted earnings per share of $0.19, beating the consensus estimate of $0.16. Revenue came in at $277 million, surpassing analyst projections of $266.47 million and representing an 8.3% increase year-over-year.
"We are pleased to have achieved both revenue and Adjusted EBITDA growth for the second quarter with all three business segments reporting volume increases," said Chairman and CEO Michael B. Petras, Jr.
Sotera Health's Sterigenics segment, which provides sterilization services, saw revenues rise 5.9% to $176 million. The Nordion segment, focused on Cobalt-60 supply, posted a 29% revenue jump to $41 million. Nelson Labs, which offers lab testing services, grew revenues by 4% to $59 million.
The company reported net income of $9 million or $0.03 per diluted share, down from $24 million or $0.08 per share in Q2 2023. The decline was primarily due to charges related to refinancing its debt.
Adjusted EBITDA increased 6.9% year-over-year to $137 million in the quarter.
Sotera Health reaffirmed its full-year 2024 outlook, including expectations for 4-6% growth in both net revenues and adjusted EBITDA.
The company successfully refinanced its debt structure during the quarter, extending maturities to 2031.
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