Agfa HealthCare's revenue decreased 5.2 percent compared to the first quarter of 2009. Due to the economic crisis, the seasonal effects in Agfa HealthCare's markets were even more important than usual, which resulted in a very strong end of 2009 and a lower top line in the first quarter of 2010. Although the Imaging segment continued to gain market share, its revenue decreased mainly in Europe and the USA. IT sales remained stable.
As a result of improved service efficiency and the increased use of manufacturing capacity, the business group's gross profit margin improved from 38.5 percent in the first quarter of 2009 to 40.6 percent.
In the past two years, targeted programs resulted in a strong reduction of SG&A expenses. In the first quarter of 2010, Agfa HealthCare succeeded in further reducing these expenses by 10.4 percent compared to the same period in 2009. Agfa HealthCare's recurring EBITDA amounted to 39.8 million Euro (or 14.4 percent of revenue). Recurring EBIT improved to 27.6 million Euro, or 10.0 percent of revenue.
Following the acquisition of the Insight Agents company at the end of 2009, Agfa HealthCare entered the contrast media market in the first quarter. Whereas Insight Agents focussed on Germany, Austria and Switzerland, Agfa HealthCare gradually started expanding the business to additional countries through its extensive distribution networks for medical film.
In the field of imaging, Agfa HealthCare introduced a second digitizer in its series of next generation Computed Radiography systems. The DX-M solution for mammography and all general radiography needs delivers high quality diagnostic images and high throughput. Launched at the end of 2009, the first system in this new series - the DX-G solution for general radiography - was very well received by the market.
Since the introduction of the Direct Radiography portfolio in March 2009, a dozen systems have already been installed. The order entry for these systems is growing in line with expectations.
In Imaging Informatics, Agfa HealthCare took a next step in its ambition to deliver a complete portfolio of diagnostic imaging IT solutions with the launch of its IMPAX for Breast Imaging. The solution extends the business group's IMPAX Picture Archiving and Communication Systems (PACS) technology into Breast Imaging.
Furthermore, Agfa HealthCare introduced its IMPAX Nuclear Medicine Information System. Combining the information system with its IMPAX PACS, Agfa HealthCare is now able to offer clinicians a solution which fully automates the nuclear medicine department's workflow.
Still in Imaging Informatics, Agfa HealthCare expanded its agreement with the Basque Healthcare Service's Osakidetza facilities in Spain. Osakidetza will install the IMPAX solution at 15 sites, in addition to the 28 facilities where the solution is already in use. The organization also agreed to install Agfa HealthCare's IMPAX Data Center, which will manage diagnostic image storage and access for all Osakidetza's sites connected to it.
In the field of Enterprise IT, Agfa HealthCare signed an agreement with Montpellier CHRU for the installation of the leading Hospital/Clinical Information System ORBIS across the organisation's seven facilities.
In Germany, Agfa HealthCare signed 28 new customers' agreements for its IT solutions IMPAX, ORBIS and HYDMedia.
Related news articles:
- Agfa HealthCare's Profile
About Agfa
The Agfa-Gevaert Group is one of the world's leading companies in imaging and information technology. Agfa develops manufactures and markets analogue and digital systems for the printing industry (Agfa Graphics), for the healthcare sector (Agfa HealthCare), and for specific industrial applications (Agfa Materials). Agfa is headquartered in Mortsel, Belgium. The company is present in 40 countries and has agents in another 100 countries around the globe. The Agfa-Gevaert Group achieved a turnover of 2,755 million euro in 2009.
About Agfa HealthCare
Agfa HealthCare, a member of the Agfa-Gevaert Group, is a leading global provider of diagnostic imaging and healthcare IT solutions. The company has nearly a century of healthcare experience and has been a pioneer on the healthcare IT market since the early 1990's. Today Agfa HealthCare designs, develops and delivers state-of-the-art systems for capturing, managing and processing diagnostic images and clinical/administrative information for hospitals and healthcare facilities, as well as contrast media solutions to enable effective medical imaging results. The company has sales offices and agents in over 100 markets worldwide. Sales for Agfa HealthCare in 2009 were 1,178 million euro. For more information on Agfa HealthCare, please visit www.agfahealthcare.com.