Abaxis delivered a mixed financial performance in the third quarter of fiscal 2016, wherein the bottom line exceeded the Zacks Consensus Estimate but the top line failed to meet the mark. Apart from tough comparisons on a year-over-year basis, the company faced a tough currency headwind overseas. Nevertheless, despite the presence of such headwinds, Abaxis managed to deliver double-digit growth in its consumable business in the quarter, while rapid test sales were up an impressive 140%. We are encouraged by the company’s forecast of a strong fourth quarter performance in this category on the back of its newly launched comprehensive booking program and a new distributor initiative. However, challenges exist in the form of increasing competition for instrument placements in the vet marketplace.