Shares of Phibro Animal Health (NASDAQ: PAHC) soared 17% after the company reported fiscal second-quarter profits that beat expectations, though they were lower than the year before. Net sales decreased 1.9% to $214 million, below analysts' consensus expectation of $219 million. Earnings per share declined 17% to $0.34, but that was far better than the market's expectations for $0.28.
Phibro, which sells health and nutrition products to livestock producers, veterinarians, and farmers, has lost sales due to the massive outbreak of African swine fever that began in China in the second half of 2018, and which has taken an enormous toll on Asia's pig herds. However, Phibro's sales in the U.S. grew last quarter, and double-digit percentage revenue growth from the company's vaccines and nutritional specialties products helped offset the decline in sales of additives for pig feed. Overall, sales by Phibro's animal health segment, the company's largest business, grew by 2.9%.
Image source: Getty Images.