VIASYS Shuffles Sales and Marketing
VIASYS Respiratory Care Inc, part of VIASYS Healthcare Inc, Conshohocken, Pa, will be combining the sales and marketing organizations into three care-specific areas—sleep diagnostics/therapy, critical care, and pulmonary diagnostics. According to the company, the restructuring will align VIASYS Respiratory Care with its customers’ specialties, forming a more responsive and efficient organization on a global basis. As part of the reorganization, Rebecca Mabry was appointed general manager, sleep diagnostics and therapy; Ruth Lundstrom was appointed senior vice president, sales and marketing, critical care; and Matt Margolies was appointed senior vice president, sales and marketing, pulmonary diagnostics. In other company news, the VIASYS Respiratory division has been awarded certification under the International Organization for Standardization ISO 13485:2003. This certification covers a wide range of products including: CPAP systems, gas blenders, accessories, cardiopulmonary diagnostics, sleep diagnostics, ventilators, oximeter products, and respiratory care equipment.
Vectura Enters Agreement for Combination Asthma Therapy
Vectura Group plc, Chippenham, UK, has signed a European collaboration, development, and license agreement with a leading international pharmaceutical company for Vectura’s VR315, a combination asthma therapy. VR315 will be developed as a generic combination product using GyroHaler®. This agreement comes less than a year after Vectura commenced development of VR315. “This is the second major licensing deal we have delivered in the last 12 months and the first for a product delivered using GyroHaler,” said Chris Blackwell, PhD, chief executive of Vectura. “It is further endorsement of the added value Vectura can deliver in respiratory product development both with our formulation expertise and with our devices. The territorial nature of this agreement allows us to continue our efforts to deliver value in the future by the further development and licensing of VR315 for other territories.”
New Leadership for Cardinal Health
Cardinal Health Inc, Dublin, Ohio, recently introduced R. Kerry Clark as president, CEO, and a member of Cardinal Health’s board of directors. Clark succeeds Robert D. Walter as chief executive. Walter, the company’s founder, long-time CEO, and major shareholder, will continue as chairman of the board and work closely with Clark to shape the company’s future. “Kerry brings broad, international experience and high-performance standards from one of the most respected companies in the world,” Walter said. “His skill set is highly relevant to Cardinal Health’s mission to build upon our market segment leadership and capitalize on the company’s considerable opportunities for growth around the world.”
Respironics Reports Financial Results
Respironics Inc, Murrysville, Pa, has released financial information stating that the company had record financial results for the 3 months and 9 months ended March 31, 2006, with net sales for the third quarter totaling $267.3 million, up 13% over the $236.5 million achieved in the third quarter a year ago. “The third quarter of fiscal year 2006 marks another period of record revenues and profits for Respironics, and the company again delivered results in line with our guidance. Both our domestic sleep and home respiratory group and our domestic hospital group posted revenue gains of 14%, reflecting the success of our strategy to build multiple growth drivers into our business,” said John Miclot, president and CEO of Respironics. “Our domestic sleep therapy growth of 13% is in line with our guidance during this period of transition to our new M-Series of devices. In the hospital group, the acceptance of our BiPAP Vision® noninvasive ventilator and Esprit® critical care ventilator drove the continued growth. … Our domestic respiratory drug delivery business unit has again delivered another strong quarter with 38% growth driven by our new I-neb™ AAD® device,” he said.
Record Revenue for ResMed
ResMed Inc, San Diego, announced record revenue and income results for the quarter ended March 31, 2006. Revenue for the quarter was $162.3 million, a 50% increase over the quarter ended March 31, 2005. “In the third quarter of fiscal 2006, sales in the Americas increased by a record 49% over the year ago quarter to $86.2 million, reflecting continued strong demand for both our nasal and full face masks, and our S8™ flow generator platform,” said Peter C. Farrell, PhD, chairman and CEO. “We also remain encouraged with the progress we continue to make in targeting sleep-disordered breathing in heart failure, as well as in other comorbidities. It is particularly encouraging for us to note that various affected medical specialties are gradually waking up to sleep and the impact that untreated sleep-disordered breathing is having on specific illnesses.”
Invacare Reports Earnings
In a recently released financial statement, Invacare Corp, Elyria, Ohio, stated that net sales for the first quarter ended March 31, 2006, decreased 2% to $361.7 million versus $370.9 million last year, and that earnings per share for the quarter also decreased. According to the company, the decline stemmed from issues associated with a lack of resolve in Medicare reimbursement issues, pressure from low-cost Asian product, and the impact of the recent implementation of the company’s enterprise resource planning system. North American respiratory product sales declined 5% for the quarter due in part to reimbursement modifications presented in Bush’s fiscal 2007 budget and other reimbursement changes. “The dual pressures of increasing Asian competition along with uncertain Medicare reimbursement changes continue to negatively impact our North American business,” said A. Malachi Mixon III, chairman and CEO. “As a result of these negative impacts, we continue to be focused on cost reduction as our top priority.” According to Mixon, the cost reductions include reducing global manufacturing and distribution costs, transferring additional manufacturing to China, and continuing to cost reduce the design and engineering of the company’s products. “We expect to see significant benefits starting in the second half of 2006 from these ongoing initiatives,” he says.