22 Nov 2012

Higher half year profit for medical equipment maker

6:50 pm on 22 November 2012

Fisher & Paykel Healthcare has posted an improved half year profit due to higher revenues and improving margins.

The maker of devices to treat respiratory problems and sleep disorders made $33.3 million in the six months to September, an increase of 18% compared with the same period a year ago.

The company declared an unchanged dividend of 5.4 cents per share.

Looking ahead, the company raised its full year forecast to between $69 - $72 million, compared with an earlier estimate of $65 - $69 million.

Shares in the company closed up 5 cents to $2.49 on Thursday, but at one stage were up 16 cents.

Sales rose 6% to hit a record all time high of $276 million.

About 44% of sales are generated in North America, but Fisher & Paykel Healthcare chief executive Mike Daniell says the company is benefitting from the rising middle classes and improved health infrastructure in China and India.

Fisher & Paykel Healthcare earns roughly two-thirds of its revenue from the United States.