Siemens sees Q3 net income rise

Siemens posts strong Q3. Image Source: Siemens

Siemens Healthcare has reported sustained growth and profitability in the 2008 third quarter in the face of challenging market conditions.

The healthcare profits were €326 million ($415.36 million U.S.), compared to €307 million ($391 million) in the third quarter a year earlier, according to Siemens. The company said that its profit margin was strongly influenced by prior-period adjustment effects and integration costs associated with acquisitions in the diagnostics division, including the acquisition of Dade Behring Holdings between the periods under review.  

Overall, Siemens reported that healthcare revenue rose 10 percent, to €2.677 billion ($3.4 billion U.S.) including new volume from Dade Behring in the diagnostics division. Excluding portfolio transactions and strong currency translation effects in the United States, the company said the sector’s three divisions all contributed to revenue growth in the quarter.

Its healthcare sector’s largest division, imaging and IT, posted a profit of €199 million ($253.97 million U.S.) in the third quarter of 2008, an 11 percent drop from the year-ago results, which was “negatively influenced by substantial currency effects,” according to the company. Revenue and orders for imaging and IT were €1.57 billion ($2 billion U.S.) and €1.7 billion ($2.17 billion U.S.), respectively, in the 2008 third quarter. Revenue rose 3 percent and orders rose 8 percent year-over-year, according to Siemens. The company attributed its order growth to new offerings for MRI and CT.