Fischer Imaging reports positive 2Q results
X-ray and mammography equipment vendor Fischer Imaging reported revenue of $19.8 million for the second quarter, ended June 30, 2004, a 64% increase over revenue of $12.1 million for the same period in 2003. Net income for the 2004 second quarter was
X-ray and mammography equipment vendor Fischer Imaging reported revenue of $19.8 million for the second quarter, ended June 30, 2004, a 64% increase over revenue of $12.1 million for the same period in 2003. Net income for the 2004 second quarter was $3.2 million compared with a net loss of $2.4 million in the comparable 2003 period. Results were bolstered, however, by an amended 2002 patent settlement agreement. The amendment provided a one-time payment totaling $4.3 million in lieu of six remaining $0.9 million payments that were due annually through 2010. The gross margin on product sales was 28.5% in the second quarter of 2004, down from 33.1% in the second quarter of 2003. The negative service margin was primarily a result of increased parts usage associated with installed SenoScan systems. The company's quality improvement initiatives and eventual contract maintenance revenue increases are expected to favorably impact both product and service margins over time.
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