Heavy investment in R&D reduced profits for Instrumentarium's medical imaging business, the Helsinki, Finland company is reporting. On the positive side, Instrumentarium Imaging reported a 28% increase in revenues, due mostly to higher sales for mammography equipment in the U.S. and Italy.
For the year (end-December 31), Instrumentarium Imaging recorded sales of $35.6 million. The division's operating profit was $4.9 million, compared to $11 million a year ago. Instrumentarium said most of the R&D investments were being directed toward the development of digital imaging technology.
Revenues will get a boost in fiscal 2000 with the addition of sales from German C-arm developer Ziehm, which Instrumentarium is planning to acquire. Ziehm had sales of $22.7 million in 1998.
By AuntMinnie.com staff writersFebruary 24, 2000
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