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Acuson's second-quarter numbers slip

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Ultrasound vendor Acuson last week posted results for its secondquarter (end-July) that showed sharp drops in both revenues andearnings. The Mountain View, CA, company said the decline wasnot unexpected, given the company's strong performance in

Ultrasound vendor Acuson last week posted results for its secondquarter (end-July) that showed sharp drops in both revenues andearnings. The Mountain View, CA, company said the decline wasnot unexpected, given the company's strong performance in 1994relative to the rest of the ultrasound market.

Acuson's revenues for the most recent quarter were $81.9 million,down 7% compared to sales of $88 million in last year's secondquarter. Net income was down sharply, with Acuson posting a netprofit of $1 million, compared to $4.1 million in the same periodlast year. The figures contrasted with those of competitor ATL,which had an 8% revenue increase (see story, page 5).

Acuson executives said the company's performance should be viewedin light of last year's results, which were strong in the firsthalf of the year due to sales of the company's mid-range XP 4systems and Acoustic Response Technology (ART) upgrades.

"We are strongly up in 1995 versus 1993," said CFOStephen Johnson. "Given that the market has been flat, wethink we're in good shape."

The U.S. market is showing strength in general imaging, whichincludes radiology, ob/gyn and vascular applications, accordingto Daniel Dugan, senior vice president of worldwide sales, serviceand marketing. The cardiology market, on the other hand, is stillvery weak.

"We are hopeful that the U.S. market in general imagingmight be starting to get healthier," Dugan said. "Cardiologyis in worse shape this year. There is a lot of price pressurein cardiology, and managed care is having big impact."

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