Growth in almost all of its businesses helped Philips Medical Systems to 7% fourth-quarter sales growth after the effects of currency adjustments are taken into account.
For the quarter (end-December 31), the Andover, MA-based firm had 2.068 billion euros ($2.682 billion U.S.) in sales, up 2% on a nominal basis (before currency adjustments) and 7% on a comparable basis (after currency adjustments) compared with 2.029 billion euros ($2.631 billion) in the fourth quarter of 2005. The vendor had earnings before interest and tax (EBIT) of 311 million euros ($403.3 million), up from 267 million euros ($346.2 million) a year ago.
In quarterly highlights, sales growth was driven by double-digit growth in healthcare informatics and customer services, Philips said. iSite PACS sales grew almost 50% on a comparable basis, according to the firm.
EBIT improved, particularly in CT, nuclear medicine, and customer services, Philips said. Net underlying order intake for the fourth quarter was practically flat due to some adjustments to the company's existing order book, although 2006 equipment order intake climbed 6% on a currency-comparable basis compared with 2005.
Looking ahead, Philips said that its North American sales organization will be realigned to tighten customer focus and simplify sales processes. This is expected to result in a minor charge in the first quarter and an overall positive impact on full-year earnings, Philips said.
The first quarter will also include acquisition and integration charges of approximately 25 million euros ($32.4 million) related to its purchase of Intermagnetics. Philips expects that EBITA will reach 14% to 15% in 2007.
By AuntMinnie.com staff writers
January 22, 2007
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Copyright © 2007 AuntMinnie.com
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![Examples of ultrasound findings and techniques. (A) Images in a 39-year-old male patient with a mass in the left thigh. The mass is heterogeneous on the B-mode US image (compared with the patient in D) and showed increased microvascularity (superb microvascular imaging [SMI]) and shear-wave elastography (SWE) values. Undifferentiated pleomorphic sarcoma was diagnosed at biopsy (with pleomorphic rhabdomyosarcoma in surgical specimen). (B) Images in an 18-year-old male patient with a mass in the left leg. The mass is hypoechoic on the B-mode image, with no other findings suggestive of malignancy. The lesion is in contact with the cortex of the tibia, which is slightly irregular. CT revealed a doubtful anteromedial tibial erosion. The microvascular study demonstrated high vascularization, suggestive of malignancy. Periosteal Ewing sarcoma was diagnosed with both histologic and immunohistochemical confirmation. (C) Images in a 69-year-old female patient with a lump growing on the outside of the left leg. Multiple SWE examinations were performed (please note the high values obtained in the measurements, whereas the color map highlights the stiffness relative to adjacent tissues). SMI showed areas of increased vascularization to target for sampling. Undifferentiated spindle cell sarcoma was diagnosed at biopsy, with residual leiomyosarcoma in the surgical specimen after neoadjuvant therapy. (D) Images in a 56-year-old female patient with a mass in the right thigh. The mass is heterogeneous at both B-mode ultrasound (similar to patient A) and MRI (coronal T2-weighted spectral attenuated inversion recovery [SPAIR]; T1-weighted pre-contrast and postcontrast imaging), which even shows uptake after the administration of paramagnetic contrast material, which is traditionally suggestive of malignancy. Low values at SMI and elastography are suggestive of benignity. Spindle cell lipoma was diagnosed at biopsy, with atypical spindle cell lipomatous tumor in the surgical specimen.](https://img.auntminnieeurope.com/mindful/smg/workspaces/default/uploads/2026/08/images-radiol250278fig2.APCFLSvX6p.jpg?auto=format%2Ccompress&dpr=2&fit=crop&h=167&q=70&w=250)
