Rofin-Sinar Technologies' 2Q profit declines as costs rise

Industrial laser maker Rofin-Sinar Technologies Inc. said Wednesday that its fiscal second-quarter profit declined as expenses and acquisition-related amortization costs overshadowed sales growth.

The Plymouth, Mich.-based company's shares dropped $6.85, or 14.9 percent, to $39.09. In the past year, the stock has traded between $32.23 and $48.83.

For the quarter that ended March 31, Rofin-Sinar earned $10.8 million, or 35 cents per share, compared with $13.1 million, or 41 cents per share, in the same quarter last year.

Rofin-Sinar said its per-share earnings calculation reflects its December stock split.

The company said its earnings were hurt by a $600,000 loss contribution and $2.7 million in amortization costs from a recent acquisition.

The company's sales rose year over year to $136.6 million from $116.1 million.

Analysts polled by Thomson Financial expected a profit of 53 cents per share on $138.3 million in revenue. The estimates generally exclude one-time items.

Revenue from laser products used for industrial applications rose 18.4 percent to $59.6 million, while revenue from lasers used for marking materials and for micro applications _ such as use with consumer electronics _ rose 11.9 percent to $62.3 million.

Rofin-Sinar also said its selling, general and administrative expenses rose 27.6 percent to $27.6 million, while research and development costs rose 43.9 percent to $10.2 million.