So #sad. R.I.P Convatec and Paul M. Down 33.53% today. Products are me-too commodities and so are the people. Once a great, respected company before being sold off to vultures and trashed. All the good people left years ago. "The revised guidance is driven primarily by a change in inventory policy by the biggest customer in our Infusion Devices franchise, which is expected to have a material negative impact on revenue in the fourth quarter of between $18 – $23 million, and to a lesser extent challenging market dynamics in specific markets in Advanced Wound Care. Therefore, the Group now expects full year organic revenue growth to be flat to 1.0%1, from 2.5% to 3.0%1 previously. As a result of this reduction in revenue expectations and consequent adverse mix impacts, guidance for adjusted EBIT margin in FY 2018 has also been revised down to 23% - 24%, from 24% - 25%. As separately announced today, Paul Moraviec has informed the Board that he wishes to retire."........
"ConvaTec did not give reasons for Moraviec’s departure, which comes a year after CFO Nigel Clerkin left the company, but some analysts had been critical of the company’s management. “We are not surprised to see the CEO stepping down given ConvaTec’s numerous missteps since the IPO,” Bernstein analysts said. The company’s continence care business was hit by a minor recall because of packaging errors that Bernstein analysts said had a bigger than expected impact on third-quarter growth. The unit’s third-quarter organic revenue growth of 1.4 percent fell well short of analysts’ consensus estimate of 3.3 percent The maker of catheters and colostomy bags has also been plagued by logistical problems including hurricane-disrupted shipping lanes in the Caribbean and the shifting of its Ostomy Care manufacturing operation from the United States to the Dominican Republic. Moraviec did not respond immediately to a Reuters request for comment via the LinkedIn social networking site. ConvaTec said that it now expects full-year organic revenue growth between flat and 1 percent, compared with previous guidance for 2.5-3 percent."
Just got around to reading the 2018 annual Report from February. Negative EBIDTA Growth????? Good luck turning that around. There was a time when ConvaTec was such a great company that single digit growth was unacceptable. But now, every year it seems "We forecast 4% growth", but in reality anyone who knows anything knows that number hasn't been sniffed in a decade and secretly hopes to round up to 2% growth NET FX, and when that number gets missed "its another bad weather season in the Caribbean." The bow of this ship finally reached the waterline. Only going to get heavier from the water from here on out. Take a deep breath and say goodbye.
ConvaTec reported 1.5% growth for the first 9 months of the year. Call names if you want but get your facts straight.
Fibbing on those numbers. Convatec is notorious for bull doo doo and fibbing the facts. More QB less time in front of customers because every waking moment should be spent on QB and scrutinizing every single penny on expense reports. When we will return to actually selling the products?
