Patterson Companies has reported lower dental sales and a multimillion loss for the first quarter of its 2019 fiscal year.
For the quarter (end-July 28), sales in the company's dental segment were $506.1 million, a 2.7% decrease compared with the first quarter of 2018. Patterson recorded a net loss of $4.5 million, compared with net income of $30.8 million in the same quarter last year. Overall revenues for the quarter were $1.3 billion, up 2.5% compared with the same quarter of fiscal 2018 after currency adjustments.
Patterson attributed the loss to smaller operating margins for dental products. The company also reserved $28.3 million in anticipation of settling of a 2016 class-action lawsuit, which alleged Patterson, Henry Schein, and Benco Dental violated U.S. antitrust laws by threatening to boycott manufacturers, state dental associations, and dental practices that did business with competitors. Patterson announced it has begun discussing a settlement with the plaintiffs and expects to reach an agreement to submit for court approval.
