Accellent sprouted healthy revenue growth in its 2013 second quarter, but reorganization costs helped push net losses higher for the medical device contract manufacturer.
The Wilmington, MA, company booked $130.7 million in net sales during the quarter, up 3.8% from $126 million over the same period in 2012. Net losses hit $12.7 million, more than double the $5.6 million net loss in the 2012 second quarter. That stems in part from a $12.1 million pretax goodwill impairment charge arising from the company's reorganization into two segments, cardio & vascular and advanced surgical.
Company President and CEO Donald Spence said in a statement that the company's reorganization is working and set to create long-term benefits for the company.
"Our reorganization into two segments continues to align our strategy with our customers' needs," Spence said. "I am optimistic that our actions will continue to generate positive results."
Broken down, the company generated $80.7 million in net sales in its cardio and vascular business, a 2.2% rise over the previous year. Advanced surgical sales reached $50 million during the quarter, a 6.4% hike compared to Q2 2012.
Accellent focuses on cardiology, endoscopy and orthopedic-related medical device contract manufacturing.
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