Radiation oncology firm Varian Medical Systems posted revenue gains in its third quarter and first nine months of fiscal 2019.
For the third quarter (end-June 28), revenue increased 16% to $825.8 million, compared with $709.1 million in the third quarter of fiscal 2018. Net earnings decreased to $29.4 million, compared with $72.6 million in 2018, which the company attributed to charges related to its Proton Solutions business and its purchase of CyberHeart, Cancer Treatment Services International, Endocare, and Alicon.
Revenue in the third quarter was fueled by a 19% increase in sales of Varian's oncology products, from $667 million in 2018 to $793 million.
For the nine-month period, revenue increased 11% to $2.346 billion, compared with $2.118 billion in the same period of fiscal 2018. Net earnings increased to $221.2 million, up from $33.5 million in the same period a year ago.
Tariffs in the trade dispute between the U.S. and China negatively affected the company's revenue growth by $10 million and growth in operating earnings by $15 million, Varian said.
