Medical gear group Getinge's Q4 profit unexpectedly falls, sees return to healthy growth in H2

Stockholm: Swedish medical equipment maker Getinge reported on Wednesday an unexpected drop in fourth-quarter operating profit as demand fell, and predicted sales growth would pick up in the second half of 2023.

Operating profit fell to 828 million Swedish crowns ($79.34 million) from a year-ago 1.11 billion against a mean forecast in a Refinitiv poll of analysts of a rise to 1.32 billion.

The maker of products for surgery, intensive care and sterilization said in a statement order intake and sales fell organically by 7 per cent and 5 per cent , respectively, due mainly to continuing external challenges.

"Hospitals have not yet recovered to pre-pandemic levels for elective surgery, are generally experiencing lower productivity than before the pandemic, and have low treatment needs related to seasonal influenza," Chief Executive Mattias Perjos said.

Getinge forecast organic sales growth in 2023 of 2-5 per cent on the back of healthy growth in the second half of the year.

"For 2023 we are expecting a weaker first half of the year as a result of continuing challenging comparative figures for significant parts of Acute Care Therapies and Life Science, whereas the second half of the year is expected to be stronger," Perjos said.