Agfa HealthCare's revenue decreased 2.8 percent compared to the fourth quarter of 2008. Excluding currency effects, revenue increased slightly by 0.3 percent. The fourth quarter traditionally is Agfa HealthCare's strongest quarter of the year. Due to the starting economic recovery, these seasonality effects were even more pronounced in 2009. The IT segment reported strong revenue figures and the Imaging segment was able to pick up revenues linked to the newly introduced DR products.
In line with the previous quarters, the business group continued its strong operational performance. The recurring EBITDA margin improved to 16.3 percent of revenue and the recurring EBIT margin reached 12.5 percent of revenue.
In the fourth quarter, Agfa HealthCare announced the acquisition of Insight Agents GmbH, a European producer of contrast media. The acquisition was successfully completed at the end of 2009. As contrast media are increasingly used for diagnostic imaging, they are a logical addition to Agfa HealthCare's imaging portfolio.
Also in Imaging, Agfa HealthCare introduced the DX-G, a next generation Computed Radiography (CR) system with unprecedented flexibility. In December, Agfa HealthCare announced the signing of a new contract with its partners in the People's Republic of China for the installation of CR systems with MUSICA² software and hardcopy printers, as well as the delivery of all related consumables. The new 4-year contract is expected to be worth 500 million US dollar. Launched in Europe in March 2009, Agfa HealthCare's systems for Direct Radiography (DR) started to generate revenue in the fourth quarter. At the RSNA 2009 event held in Chicago, the systems were introduced to the North American markets.
In the field of Imaging Informatics, Agfa HealthCare released a new version of its leading Picture Archiving and Communication System (PACS) in the fourth quarter. The improvements of IMPAX 6.5 enable a radiologist to read more exams, with fewer mouse clicks. They include new communication tools - such as instant messaging - enhanced task management and optimized algorithms that speed up image delivery.
In 2009, Agfa HealthCare signed over 50 new agreements for its leading IMPAX PACS and RIS solutions with local, regional, university and governmental care organizations all over the world.
In Enterprise IT, Agfa HealthCare achieved its planned growth for its ORBIS solution with over 40 new agreements signed in 2009. As a result, the business group enforced its leading position in Europe.
Agfa HealthCare - full year 2009
Agfa HealthCare's revenue decreased 3.7 percent compared to the previous year. The business group was able to limit the effects of the economic crisis. Although some care organizations were postponing their investments in equipment and IT, Agfa HealthCare was able to safeguard its sales. In line with expectations, the revenue growth in IT did not suffice to fully compensate for the market driven revenue decline in Imaging.
Following a strong reduction in 2008, Agfa HealthCare succeeded in a further SG&A cost reduction of 43 million Euro in 2009. Due to these efforts - but also to improved service efficiency and operational efficiency and lower raw material prices - the business group considerably improved its profitability throughout the year. Agfa HealthCare's recurring EBITDA amounted to 168.0 million Euro (or 14.3 percent of revenue). Recurring EBIT improved to 116.2 million Euro, or 9.9 percent of revenue.
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- Agfa HealthCare's Profile
About Agfa
The Agfa-Gevaert Group is one of the world's leading imaging and information technology companies. Agfa develops, manufactures and markets analogue and digital systems for the printing industry (Agfa Graphics), the healthcare sector (Agfa HealthCare) and specific industrial applications (Agfa Materials). Agfa's headquarters are in Mortsel, Belgium. The company is present in 40 countries and has agents in another 100 countries throughout the world. The Agfa-Gevaert Group achieved a turnover of 3,032 million Euro in 2008.
About Agfa HealthCare
Agfa HealthCare, a member of the Agfa-Gevaert Group, is a leading provider of IT-enabled clinical workflow and diagnostic image management solutions, and state-of-the-art systems for capturing and processing images in hospitals and healthcare facilities. Agfa HealthCare has over a century of healthcare experience related to diagnostic imaging and has been a pioneer on the healthcare IT market since the early 1990's. The HealthCare division has sales offices and agents in over 100 markets worldwide. Sales for Agfa HealthCare in 2008 were 1,223 million Euro.
For more information on Agfa HealthCare, please visit www.agfa.com/healthcare.