(Reuters) -German medical technology company Siemens Healthineers on Thursday reported first-quarter revenue slightly above consensus, as its U.S. revenues increased by 16% while those from China declined 6% due to “continued delays in customer orders”.
Like its healthcare technology sector peers, Siemens Healthineers has been struggling against a Chinese anti-corruption campaign that launched July 2023. With hospitals scaling back equipment ordering, growth in the firm’s third largest market, Asia Pacific and Japan, has been dampened from the effects.
The company’s first-quarter group revenue landed at 5.48 billion euros ($5.69 billion), rising 5.9% from a year earlier and higher than the 5.37 billion euros expected by analysts in a Vara Research-compiled consensus.
The med-tech group’s adjusted earnings before interest and taxes (EBIT) also beat expectations, at 822 million euros in the first quarter compared to the 802 million euros expected by analysts.
The company confirmed its 2025 full-year guidance of a comparable revenue growth of between 5% and 6% compared with 2024 and an adjusted basic earnings per share of between 2.35 euros and 2.50 euros.
CEO of medical equipment maker peer Philips said in January that he still expects subdued demand in China this year due to the healthcare anti-corruption efforts by the Chinese government that have hurt revenue there for Western companies.
The European Commission concluded in January that EU medical device suppliers are not given fair access to China’s public tenders, after launching an investigation last April.
($1 = 0.9628 euros)
(Reporting by Marleen Kaesebier; Editing by Mrigank Dhaniwala)
