Despite the challenging economic climate, radiation therapy firm Varian Medical Systems of Palo Alto, CA, has reported gains in both revenues and net income for fiscal 2009.
For the year, the company reported revenue of $2.214 billion, up 7% compared to $2.07 billion the year before. The company posted net income for the year of $319 million, compared with net income of $279.5 million in 2008.
For the fourth quarter of 2009, Varian recorded revenue of $642 million, up 8% compared to revenue of $592.7 million in the corresponding quarter of 2008. The company's net income for the most recent quarter was $97 million, compared with net income of $78.5 million in the same period of fiscal 2008.
The company attributes the positive news to several factors, including the sale of the nonproton therapy portion of its ACCEL business earlier in the year, shifts toward newer higher-margin oncology products and services, and initiatives designed to trim expenses.
Varian reported that its oncology systems business was helped with a healthy year in the international oncology market, yielding solid revenue growth and increased sales of software and services.
The road ahead is less certain due to effects of the recession and proposed cuts in reimbursement in North America that might come from healthcare reform.
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