Siemens Healthineers Net Profit Falls on Higher Costs, Taxes

By Adria Calatayud

Siemens Healthineers reported a lower net profit for the fourth quarter of fiscal 2023 on higher charges and taxes, and forecast growth in sales and adjusted earnings for the year ahead.

Net profit for the quarter ended September amounted to 537 million euros ($574.6 million) compared with EUR630 million in the same period last year, the German healthcare company said Wednesday. On an adjusted basis, basic earnings per share fell 11% to EUR0.58.

The company attributed the fall to the impact of its discontinued rapid Covid-19 antigen test business on profitability, increased interest rates, higher severance charges and a higher tax rate.

Revenue inched higher at EUR6.06 billion from EUR6.00 billion, driven by growth in its Varian radiation-oncology business and its imaging segment, the company said. On a comparable basis, quarterly revenue grew 7.5%.

Analysts had expected Siemens Healthineers to post a quarterly adjusted EPS of EUR0.58 on revenue of EUR5.87 billion, according to consensus estimates provided by the company.

For the year ahead, Siemens Healthineers expects comparable revenue growth of between 4.5% and 6.5% and adjusted EPS of EUR2.10 to EUR2.30.

Write to Adria Calatayud at [e-mail]

(END) Dow Jones Newswires

November 08, 2023 01:20 ET (06:20 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.