Waters profit disappoints analysts

Waters Corp., which makes analytical instruments, said today that fourth-quarter profit rose 24 percent, but fell below analysts' expectations.

The company reported net income of $98.9 million, or 96 cents per share, compared with $79.9 million, or 78 cents per share, in the year-ago period.

Fourth-quarter 2006 results include restructuring and other expenses related to a cost-reduction plan implemented in February 2006, as well as an impairment charge of $5.8 million. On an adjusted basis, fourth-quarter per-share earnings rose 17 percent to 98 cents from 84 cents.

Total sales rose 13 percent to $437 million from $386.9 million in the fourth quarter of 2006.

Analysts polled by Thomson Financial, on average, estimated earnings of $1.06 per share on sales of $437.2 million.

For the full year, Waters' net income rose 21 percent to $268.1 million, or $2.62 per share, from $222.2 million, or $2.13 per share, in 2006.

Total sales for 2007 jumped 15 percent to $1.47 billion from $1.28 billion.

The company said fourth-quarter results fell below its expectations as a result of weaker sales in Japan and a higher-than-anticipated tax rate for 2007. (AP)