(IFN) Icelandic prosthetics and orthotics manufacturer Ossur's third-quarter net profit increased to USD5.4 million from USD4.0 million a year earlier, the company announced on Monday.
Net profit excluding amortization of intangible assets relating to recent acquisitions amounted to USD7.3 million, up from USD4.8 million for the third quarter in 2005 or by 52%.
Sales increased by 41%, to USD62.8 million from USD44.6 million in the same period in 2005. Earnings before interest, taxes, depreciation and amortization were up by 17%, from USD4.6 million to USD12.14 million.
?We are confident about achieving our targets for the year but our third quarter results are in the lower range of management expectations. In North America, we continue to see excellent growth in prosthetics while pro forma growth in bracing and support products is more in line with the overall market and below our long term goals. Integration and restructuring activities following our recent acquisitions are on track," said Jon Sigurdsson, Ossur's president and chief executive.
"During the quarter we closed down our facilities in Bothell, Washington and put significant effort into the restructuring of our bracing and support distribution network in North America. This had a temporary negative impact on sales in the region. We have been challenged in Europe and will see a more gradual improvement in that area."
"Our UK headquarters were moved from Blackburn to Manchester in the beginning of September and at the same time all UK distribution was moved to Eindhoven. We are steadily moving beyond the most challenging period. Ossur's long term prospects remain positive and we are confident that our strategy will allow us to reach our ambitious goals for future growth and profitability," Sigurdsson added.
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