Healthcare professionals are better controlling problem areas

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Written By Kampretz Bianca

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More sales and a strong jump in profits: business is good at Siemens Healthineers. However, the Erlangen-based medical technology group should be particularly pleased that it appears to be making progress in resolving its problem areas. Specifically, this concerns the ongoing crisis deal with the Atellica laboratory platform.

Increase from the previous year’s “excellent” numbers

Healthineers boss Bernd Montag was extremely pleased when presenting the business figures for the second quarter. The Erlangen company continued its course of growth “even compared to an excellent quarter last year,” he said. In concrete terms, this means: Healthineers increased its sales again – to 5.43 billion euros. This corresponds to an increase of around three percent. Business was particularly good in Europe, Africa, the Middle East and the USA.

Increase profits, just a side note

Although sales increased by around three percent, Healthineers recorded a real jump in after-tax profit. After a surplus of 108 million euros in the comparable quarter of the previous year, profit was now 431 million euros. This corresponds to an increase of almost 300 percent.

However, this was just a side note when the business numbers were presented. The reason: In the same quarter last year, the robotics business was realigned with one-off special effects worth 329 million euros. Healthineers’ Q2 2023 profit has collapsed. Now the population of Erlangen has returned to “normal” levels.

Healthcare professionals are better controlling “problem areas”.

What is particularly pleasing for the medical technology group is that the Erlangen-based company is apparently increasingly getting under control of problems with its diagnostics business, which have been dragging on for years. The division’s transformation is “going according to plan,” said CEO Bernd Montag. Specifically, this is the Atellica laboratory platform.

After there was little demand from clinics and laboratories for the platform, accompanied by technical problems, Healthineers brought a smaller variant of Atellica to the market. This is now being “very, very well received” by customers, says Montag. And for Healthineers, this smaller Atellica variant also involves less service effort. As a result, Siemens Healthineers even slightly increased the profit margin target for the diagnostics business.

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