Siemens Healthineers AG has posted good business figures in the first quarter following its successful initial public offering on March 16, 2018. Year-over-year revenue was up four percent at EUR 3.2 billion on a comparable basis. Despite continuing negative currency effects, the profit margin adjusted for non-recurring effects increased by 90 basis points to 17.4 percent, while adjusted profit was stable at EUR 560 million compared to the second quarter of 2017. Adjusted net income increased by 26 percent to EUR 428 million. Earnings per share amount to EUR 0.30. The market launch of the Atellica Solution laboratory diagnostics system is on course; by the end of the second quarter, more than 250 systems had been shipped.
"With a strong performance the team of Siemens Healthineers has once again demonstrated the operational strength of our businesses, while preparing for our successful IPO", said Bernd Montag, CEO Siemens Healthineers. "Based on the good quarterly figures, we confirm our outlook for the full year." Siemens Healthineers continues to expect a comparable revenue growth to be in the range of three to four percent for the fiscal year ending September 30, 2018 compared to the previous fiscal year, and an adjusted profit margin of between 17 and 18 percent.
The Imaging Segment generated revenue of EUR 1.9 billion, corresponding to a year-over-year increase of six percent on a comparable basis. Comparable revenue growth in all three regions with significant growth in the U.S., China and Latin America was driven by an increase in equipment sales and services with strong increase in MR, CT and Ultrasound. Adjusted profit was up from EUR 346 million in the previous year's quarter to EUR 376 million, while the adjusted profit margin climbed by 200 basis points to 19.3 percent.
In a highly competitive market environment, the like-for-like revenue of the Advanced Therapies Segment increased by two percent, amounting to EUR 352 million. The geographical focus in the past quarter was on Europe/Middle East/Africa. Due to negative currency effects, and increased investments in research and development, the adjusted second-quarter profit was EUR 56 million, compared to EUR 80 million the previous year. The adjusted profit margin was 16.0 percent, following 21.2 percent in the previous quarter.
In the Diagnostics Segment the solid revenue growth in Europe/Middle East/Africa and the slight growth in the Asia-Pacific region were offset by consumer restraint in Americas – revenue was EUR 970 million in the second quarter, equivalent to a low growth on a comparable basis. The adjusted profit margin was virtually stable year-over-year at 13.6 percent, equivalent to adjusted profits of EUR 132 million – after EUR 143 million during the same period the previous year. The market launch of the new Atellica Solution laboratory diagnostics system is on schedule. Diagnostics had a successful start into the third quarter with the signing of a contract for more than 50 systems with the Brazilian Hermes Pardini Group, the country's leading and fastest-growing laboratory diagnostics provider. The goal remains to place 800 to 1,000 Atellica Solution units by the end of the current fiscal year.
Following the initial public offering on March 16, the Siemens Healthineers AG share price developed positively. The reorganization of the operating units and the reduction of decision-making levels make the company leaner, more efficient and more agile. The integration of the blood gas portfolio of Epocal and the acquisition of molecular diagnostics company Fast Track Diagnostics are important steps for Siemens Heathineers to strengthen its laboratory diagnostics business. At the European Radiology Congress (ECR, February 28 to March 4, 2018 in Vienna), the particularly lightweight and adaptable Acuson Juniper ultrasound system based on a completely new platform and the new Magnetom Sola2 magnetic resonance scanner were presented in the field of medical imaging. The new systems are planned to support healthcare providers in expanding precision medicine, transforming care delivery and improving patient experience.
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