Siemens Healthineers Q1 Earnings Rise On Strong Demand For Covid-19 Antigen Tests

Economy

Siemens Healthineers AG (SMMNY.PK), an American- German medical device company, on Thursday posted a rise in earnings for the first quarter, amidst a rise in revenue, supported by an increase in Covid-19 antigen tests. The company also raised its guidance for the current fiscal.

For the first quarter of 2022, the Erlangen-headquartered firm posted a net income of 472 million euros or 0.41 euros per share, compared with 437 million euros or 0.40 per share, reported for the same period last year.

Adjusted basic earnings per share also move up by 12 percent, to 0.55 euros, reported for the first quarter of 2021.

The adjusted EBIT of the medical devices maker rose by 22 percent for the first three-month period of 2022, to 898 million euros, year-on-year basis.

Following a steep rise in demand for Covid-19 antigen tests, the company’s revenue from the diagnostics segment moved up by 19.7 percent, to 1.4 billion euros. Out of which, revenue of 329 million euros was generated from rapid Covid-19 antigen tests.

Siemens generated a revenue of 5.06 billion euros for the first quarter, a rise of 31 percent, compared with the previous year quarter.

Consequently, the company has raised its guidance for the current fiscal.

For FY22, Siemens now projects its adjusted basic earnings per share to be in the range of 2.18 euros and 2.30 euros as against its previous guidance range of 2.08 euros – 2.20 euros.

For the current fiscal, it now expects the revenue growth to be in the range of 3% – 5%, versus earlier projection range of 0% -2%.

With rapid antigen tests, Covid-19 Diagnostics segment is also expected to generate around 700 million euros in revenues, higher than earlier guidance of 200 million euros.

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