Siemens Healthineers Lifts Guidance Again on Covid-19 Test Demand

By Cristina Roca

Siemens Healthineers AG said Wednesday that second-quarter earnings rose, and raised its guidance again on the back of strong demand for rapid Covid-19 tests.

The German medical-equipment maker reported net income of 579 million euros ($609.1 million) in the quarter ended March 31, compared with EUR443 million a year earlier.

Revenue was EUR5.46 billion, up 38% on a reported basis following the integration of the recently acquired Varian business. It rose 16% on a comparable basis. Analysts had expected revenue of EUR5.25 billion, according to a Vara consensus estimate.

High demand for rapid Covid-19 antigen tests at the diagnostics segment was the main driver of the rise in revenue, but all divisions contributed to growth, Siemens Healthineers said.

The company said it now expects revenue from rapid Covid-19 tests to come in at around EUR1.3 billion for fiscal 2022, from previous expectations of around EUR700 million.

As a result, it raised its full-year guidance and now expects annual comparable revenue growth of 5.5%-7.5%, from 3%-5% previously, and adjusted basic earnings per share of EUR2.25-EUR2.35, from previous views of EUR2.18-EUR2.30.

The company had already lifted its full-year view during first-quarter reporting in February, also on the back of Covid-19 testing demand.

Write to Cristina Roca at [e-mail]

(END) Dow Jones Newswires

May 04, 2022 01:26 ET (05:26 GMT)

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