Radiation therapy firm Varian Medical Systems reported 13% growth in revenues for the first quarter of fiscal 2020. The company's net income slipped for the period, however, due mostly to the effect of a large one-time gain in last year's numbers.
For the quarter (end-January 3), Varian posted revenues of $828.9 million, up 13% after currency adjustment compared with revenues of $741 million in the first quarter of 2019. The results were driven by 11% growth in revenues from its Oncology Systems division, which makes up the lion's share of Varian's financial results.
The company's net income for the quarter was $88.9 million, down compared with $103.9 million for the same quarter of 2019. The company's first-quarter 2020 earnings included a $9 million charge related to its acquisitions of Endocare and Alicon, while its earnings for the period the year before were boosted by a $22 million gain on the sale of an equity investment in Augmenix.
Varian said that, based on solid operating performance in the first quarter and continued momentum in both the market and for its products, it is making no changes to its guidance for fiscal 2020.