Medical device maker Edwards Lifesciences Corp (EW.N) cut its revenue estimates for the third quarter, as sales of its heart valve fell below expectations on a weak surgical market in Europe, sending its shares 15 percent lower in extended trading.
Edwards now estimates revenue of about $448 million for the quarter ended September 30, down from its previous outlook of between $465 to $485 million. Analysts were expecting revenue of $476.6 million in the period, according to Thomson Reuters I/B/E/S.
Sales of the company's minimally invasive Sapien transcatheter heart valve were below expectations in the quarter, the company said, with global sales estimated at $124 million, including U.S. sales of $55 million.
In the second quarter, sales of the product had risen 71 percent to $145.8 million.
"In Europe, austerity measures tempered procedural volumes, resulting in underlying sales comparable to the same period a year ago," Chief Executive Michael Mussallem said in a statement.
However, Mussallem said he expects a strong rebound in sales in the fourth quarter.
Edward had projected global sales of the valve to be in the range of $550 to $600 million, and U.S. sales of $240 to $260 million.
The company said on Monday that if U.S. health regulators approved an expanded indication of the heart valve, it expects to achieve the low end of its global and U.S. sales guidance.
Shares of the company were down 15 percent at $92.14 in after-hours trading after closing at $107.4 on the New York Stock Exchange.
(This story was refiled to fix typo in paragraph 1)
(Reporting By Vrinda Manocha in Bangalore, Editing by Anthony Kurian)