Lexington, KY – Led by growth in its software side, Lexmark saw earnings of $.45 per share in the third quarter of 2013.
Business Lexington
“The software element, which hasn’t been significant in the past, is now becoming more significant,” Lexmark’s CEO Paul Rooke told in a Tuesday morning interview.
Since the 2010 purchase of Perceptive Software, based in the suburbs of Kansas City, Lexmark has turned more and more of its focus on end-to-end solutions that allows for the collection and easy dissemination of data for clients in fields like logistics and health care.
“We’re trying to grow Perceptive along with our hardware business so we have multiple levels to create more end-to-end solutions,” Rooke said.
The company’s quarterly report states shares would have earned a total of $.95 each were it not for the restructuring costs associated with its exit of the inkjet printer market, which was announced in August of last year.
“The end is in sight in terms of really getting the inkjet headwind out of the way,” Rooke said when asked how much longer the consumer aimed printer division - that had its assets sold in April to Funai Electric Company - would continue to alter Lexmark’s ledger. “We’ve got a couple more years of headwind as we head into ‘14, and in ‘15 it gets to be a very, very small part of what we do.”
Looking ahead to the fourth quarter of the year, Lexmark anticipates growth to be flat to 2 percent. While the company has nearly $1 billion in cash on hand, Rooke said he could not say if the company saw more acquisitions on the horizon in the year’s final quarter.
Earlier this month it was announced Lexmark had purchased PACSGEAR, a provider of connectivity solutions for health care providers to capture, manage and share medical images and related documents and integrate them with existing picture archiving and communication systems and electronic medical records systems. Lexmark paid approximately $54 million for the company that will report to Perceptive.
And in August, Lexmark acquired German software developer Saperion for approximately $72 million in cash.
Currently Lexmark is focused on getting PACSGEAR and Saperion intergraded into Lexmark and Perspective Software’s systems, a process Rooke said could take up to six months.