Respironics Continues to Grow Respironics Inc, Murrysville, Pa, closed out fiscal year 2005 reporting record financial results. The year was marked by the companys continued leadership in the global OSA marketplace, further acceptance and adoption of the companys ventilation therapies in various geographic markets, successful international expansion, and the emergence of Childrens Medical Ventures as a growth driver. Other new growth drivers included advanced respiratory drug delivery and the screening, diagnosing, and treatment of other sleep disorders. For the year ending June 30, 2005, net sales increased to $911.5 million, a 20% increase over the $759.5 million reported a year ago. Our fiscal year ended with the 23rd consecutive quarter of the company meeting or exceeding its financial expectations, says John Miclot, president and CEO. Record results across our business units, combined with organizational growth and increased global market penetration, illustrate again the strength and balance of our company and our strategy. In 2006, Respironics will continue to focus on its two primary markets of sleep and respiratory. Our core sleep business has been providing growth by focusing on the diagnosis and treatment of OSA, but expansion beyond this core business to include products and services for other sleep disorders presents us with a significant opportunity through our Sleep Well Ventures business, says Miclot. The Home Respiratory Care business unit will support the respiratory-impaired patient in the home and will focus on growing Respironics market share in home ventilation and expanding the oxygen product line. As we grow, we have more to offer one anothermore opportunity for collaboration, greater resources for problem solving, a broader scope of reach and impact, says Miclot. We envision that fiscal year 2006 will be a milestone for Respironicsthe year in which we exceed a billion dollars in revenue. It is an achievable goal, and one the Company has worked toward steadily. |
Eleven providers gained international wisdom at the recent Graham-Field Workshop.
Graham-Field Holds International Workshop
GF Health Products Inc, Atlanta, recently held its 2005 International Medical Equipment Workshop, where 11 dealers joined their colleagues from six countries to discuss the impact of Graham-Fields products within their local health care markets. Educational seminars were held at the workshop, and participants were awarded certificates of completion.
Pride Working for HR 3559
Pride Mobility Products Corp, Exeter, Pa, has commissioned Wayne Grau, senior area manager of New England, to lead the Pride outside sales force in targeting state associations and providers, as well as holding meetings, to increase awareness on HR 3559. To date, Grau has held more than 18 meetings and obtained the support of nine members of Congress for the legislation. There are, however, 435 representatives, and as of November 14, 49 have cosigned the bill. Grau will now be traveling throughout the country to educate providers and state associations on the importance of HR 3559. This bill is critically important to protect providers both large and small from the negative consequences of the competitive acquisition program, says Grau. It is important that all providers reach out to their representatives and urge them to cosponsor this legislation.
If Wayne can do nationally what he has done regionally [with the New England Medical Equipment Dealers Association (NEMED)], well get the signatures we need to make an impact, says Karyn Estrella, executive director of NEMED and chair of the AAHomecare State Leaders council. He has been the driving force behind our success in New England.
Pride wants to make sure Medicare beneficiaries have access to cost-effective medical equipment without compromising quality. It is because we are a manufacturer that we took a proactive approach to educate providers and state associations on this bill, says Dan Meuser, president, Pride USA. It is important that everyone understands the importance of this bill; it addresses many of our concerns about restrictive contracting or competitive bidding.
Access Point Medical Purchases Bruno Scooter Rights
Access Point Medical (APM), St Louis, has purchased the scooter and power wheelchair product lines of Bruno Independent Living Aids in a transaction that encompasses Brunos Cub and SuperCub line of scooters plus Bruno power wheelchairs. Also included is the transfer of intellectual property, regulatory approvals, and engineering designs for these products. This purchase fulfills our commitment of offering power-mobility equipment by the end of 2005, says APMs CEO Hans Stover. Were putting our belief into actionthat providers shouldnt have to compromise on product quality in order to lower their acquisition costs.
Sunrise Medical Acquires Lomax Mobility
Sunrise Medical, Longmont, Colo, has acquired Lomax Mobility in a move to build on the strengths of the two companies. The acquisition of Dundee, Scotland-based Lomax will see both companies continue to operate independently. Lomax Mobility, which designs and manufactures a wide range of manual and powered wheelchairs from its Claverhouse Industrial Estate factory, will remain focused on growing its business in the UKs National Health Service. It has been the desire of Sunrise Medical to play a part in UK market development for mobility products, and now through our companies coming together, we can seek to drive industry innovation, quality standards, value for money, and customer service, says Kees Regeling, European senior vice president of commercial operations for Sunrise Medical.
CareCentric Teams With ProviderLink
ProviderLinkTM Inc, Cary, NC, a health care IT communications company, has been selected as the technology provider for Atlanta-based CareCentrics CMN Communication Manager. The integrated solution will enable HME companies to manage physician signature collection through a single interface. Both electronic and faxed-back physician signatures can now be collected and managed through this paperless solution regardless of how they are received. CareCentric will market the product within their existing suite of applications.
VA Extends Contract With Golden Technologies
The Veterans Administration (VA) has notified Golden Technologies, Old Forge, Pa, that they intend to exercise the second year option on the national contract for the Companion I and Companion II scooters to VA Medical Centers across the country. This will make three straight years that Golden Technologies has been entrusted to provide small and full-sized scooters to veterans around the country through this national contract program. The contract was first awarded in November 2003 for the 2003-2004 year. The contract has the potential to be renewed four times, for a total of 5 years and with a total value of upwards of $40 million. This second extension proves that the Veterans Administration recognizes the quality workmanship that goes into every Golden Companion series scooter, along with the outstanding customer service that each of our employees provides to all of the VA Medical Centers around the nation, says Rich Golden, CEO, Golden Technologies.
ResMed Revenue Rises
ResMed Inc, San Diego, announced record revenue and income results for the quarter ended September 30, 2005. Revenue for the quarter was $127.1 million, a 45% increase over the quarter ended September 30, 2004. During the past year, we have expanded our international operations with several strategic acquisitions. The latter have contributed ventilation products, technologies and expertise, as well as management depth, integrated distribution channels, and expanded reach within Europe, says Peter C. Farrell, PhD, chairman and CEO. Our team has done an excellent job integrating these acquisitions and positioning ResMed for future growth in Europe. Recently, we also entered into an agreement to acquire PolarMed Holdings AS, a leading Scandinavian distributor with offices in Norway, Sweden, and Denmark.
Apria Leader Honored
Vernon Pertelle, Aprias national director of clinical respiratory services, has received the Invacare Award for Excellence in Home Respiratory Care from the American Respiratory Care Foundation. The annual award is given by the Foundation arm of the American Association for Respiratory Care, and is underwritten by Invacare Corp, Elyria, Ohio. This is the second time that Aprias national director of respiratory services has been honored, since Pertelles predecessor also received the award several years ago. Pertelle was recognized for his broad clinical expertise, leadership skills, and patient care/industry advocacy work with physicians, payors, and government policymakersall of which has contributed to increased visibility for Apria Healthcare among key constituencies.
CHAD Reports Financial Results
CHAD Therapeutics Inc, Chatsworth, Calif, reported financial results for the second quarter and first half of fiscal 2006. For the 3 months ended September 30, 2005, revenue declined to $5,375,000 from $6,309,000 for the second quarter of fiscal 2005. Sales of oxygen conservers to domestic customers declined 29% during the first 6 months of fiscal 2006 compared to the prior year while international conserver sales increased 181%. The company also reported that sales of CHADs proprietary TOTAL O2® home oxygen filling system increased 39% during the same period.
CHAD also announced that it has engaged an investment banking firm to assist management in evaluating strategic alternatives to maximize shareholder value. As previously reported, for the past few months we have been in discussions with several parties concerning the distribution of both our TOTAL O2 home oxygen filling system and the products we are developing for the sleep disorder market. During the course of these discussions, our board of directors decided to broaden the scope of its consideration of various strategic alternatives for the company, says Earl L. Yager, president and CEO. Accordingly, we have engaged Ewing Bemiss & Co, a highly respected private firm based in Richmond, Va, with substantial investment banking experience in the medical device industry, to assist in evaluating these opportunities and considering alternatives to maximize value for CHADs shareholders.
Respironics CEO Honored
For the past 8 years, the Pittsburgh Technology Council has recognized the regions fastest-growing and most innovative companies and their leaders. This year, the Council selected John Miclot, president and CEO of Respironics, Murrysville, Pa, as CEO of the Year. Miclot was selected based on criteria that included the performance of Respironics, the extent to which he has contributed to the companys performance, overall leadership qualities, and the esteem in which he is held by his peers. Its truly an honor to be recognized by the Pittsburgh Technology Council, but I give the credit for this award to all of the people in our company. Respironics has more than 4,100 associatesIm only one of them, says Miclot. All of us at Respironics have worked diligently toward exceeding our company goals, and I believe our performance from this past fiscal year proves it. DP