-Covidien PLC said Friday its fiscal second-quarter earnings climbed 9 percent, as growth in its medical device and pharmaceutical segments helped counter cost increases.
The Irish company earned $497 million, or $1.02 per share, in the three months that ended March 30. That compares with net income of $455 million, or 91 cents per share, in last year's quarter. Revenue climbed 5 percent to $2.95 billion from $2.8 billion.
Adjusted earnings, which exclude one-time items, were $1.05 per share.
A 2 percent reduction in the number of outstanding shares helped boost per-share results for the recent quarter.
The adjusted results topped expectations. Analysts, on average, earnings of $1.03 per share on $2.9 billion in revenue, according to data provider FactSet.
Covidien said is medical device sales climbed 7 percent to $2 billion in the quarter, helped by new products and increased volume. The company cited growth in stapling products, monitors and its vascular business.
Pharmaceutical sales climbed 4 percent to $508 million, boosted by 34 percent growth in specialty pharmaceutical sales. The company announced in December that it plans to spin off the pharmaceutical business and has said that process could take as long as 18 months.
Selling, general and administrative expenses climbed 7 percent to $914 million in the second quarter, as Covidien expanded its sales and marketing in emerging markets. Research and development costs rose 28 percent to $167 million.
Covidien's U.S.-traded shares closed Thursday at $55.04, up more than 22 percent since the start of the year. The stock was not trading premarket.
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