Fisher & Paykel: What are the expectations surrounding its upcoming results?

Highlights

• Revenue for the first four months of FY22 stood at $583 million.
• The Company did not announce any revenue or earnings guidance for FY22 amid uncertainties.
• FPH will declare its half year results on 25 November 2021.

Fisher & Paykel Healthcare Corporation Limited (NZX:FPH;ASX:FPH) is a leader in creating and producing a range of medical devices and techniques used in respiratory treatment, acute care surgery etc. 

After experiencing record result in FY21, the Group reported a revenue of $583 million for the first 4 months of FY22 with 74% revenue from the Hospital product group and 26% from the homecare product group.

Revenue for the period was 2% below the pcp that was a high demand phase during the initial surges of COVID-19 in North America and Europe, in constant currency terms.

Image source: © 2021 Kalkine Media, Data source- EODHD/Others

Some of the highlights of FPH’s operations for the first 4 months ended 31 July 2022 included of the following-

• 66% of the hospital revenue came from the sale of consumables and 34% from hardware sales
• Hardware volume stayed high compared to pre-COVID-19 levels as some regions witnessed COVID-19 hospitalisation surges in the period.
• Total hardware sales dropped 62% and total consumables sales declined 14% on pcp in constant currency terms in North America and Europe.
• Hospital consumables sales continued to suggest the clinical practice move from invasive ventilation toward the use of Optiflow nasal high flow therapy.

In the homecare product group, constant currency revenue was 4% above the pcp in the period with 4% growth in OSA masks.

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Outlook for the remaining FY22

FPH did not provide any earnings or revenue guidance for the remainder of FY22 given continued uncertainties related to vaccination rates, effectiveness of vaccines against coronavirus variants and response to COVID-19 case numbers.

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The Company does not expect its Hospital hardware revenue to continue at a high level for the remainder of the financial year. FPH expects its hospital consumables sales to be affected by COVID-19-related hospital admissions.

RELATED READ: What is Fisher & Paykel’s (NZX:FPH)  outlook for the remaining FY22 period?

FPH remains working on its research and development projects and expanding global sales teams to support the growing installed base of nasal high flow systems.

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The Company will announce its results for 6 months ended 30 September 2021 on 25 November 2021.

On 5 November, at the time of writing, FPH was trading at $5.78, down 0.34%.

(NOTE: Currency is reported in NZ Dollar unless stated otherwise)