Navigation Links
Hill-Rom Investor Conference Features Business Strategy Updates and New Technologies

BATESVILLE, Ind., Dec. 15 /PRNewswire-FirstCall/ -- Today, Hill-Rom Holdings, Inc. (NYSE: HRC) will update investors regarding progress on significant strategic and financial initiatives at its Investor Conference in New York City. The Conference is hosted by Peter H. Soderberg, president and CEO of Hill-Rom, and will include presentations on the following topics:

  • Status of multi-year strategic initiatives
  • Business unit, research and development and financial updates
  • Smart technologies that interface with electronic medical records (EMR)


Amidst the backdrop of a turbulent 2009 economic environment and a cautiously optimistic outlook, Hill-Rom will update operational strategies and associated initiatives around its aggressive program of improved execution, targeted investment, revenue acceleration and margin expansion. At its second Investor Conference since becoming an independent "pure-play" medical technology company, Soderberg, along with Gregory N. Miller, senior vice president and CFO, and other Hill-Rom business unit and functional leaders, will provide presentations focusing on market opportunities, key strategic initiatives and resulting growth and profitability expectations.

"We look forward to the opportunity to discuss the progress we have made to date as well as to highlight our expectations for future performance. With our primary focus to create shareholder value through continued execution of previously identified strategies and initiatives, we believe Hill-Rom has an exciting future ahead," said Soderberg. "However, we also recognize that the current challenges in the economic environment have the potential to impact our customers. Accordingly, our financial outlook for 2010 has been framed cautiously."

Soderberg added that, "We continue to believe that our strategic direction and operational initiatives will yield organic revenue and operating income (EBIT) growth over the 2009 - 2012 time frames that are consistent with the multi-year goals set out previously. Our financial targets remain to grow normalized organic revenue by an average of 6 - 8 percent, increase gross margins to 47 - 49 percent and growing earnings per share (EPS) at least twice the rate of revenue."

He added, "We will continue to prioritize research and development, sales channel enhancements, and margin expansion initiatives. Further, we continuously evaluate our business and product portfolio in order to fill gaps, or shed or restructure underperforming operations. These actions will allow us to better serve our customers, associates and shareholders."


The Company will reaffirm fiscal year 2010 financial guidance during the conference. Hill-Rom's consolidated revenue guidance range for fiscal 2010 is expected to be $1.445 to $1.500 billion, which represents a 4 to 8 percent increase versus prior year. Our operating income is expected to be in the range of $124 to $142 million, an increase of 7 percent to 23 percent over comparable 2009 adjusted results. Our effective tax rate estimate for 2010 without discrete tax items is expected to approximate 36 percent versus our comparable 2009 adjusted tax rate of 34.9 percent, also excluding discrete tax benefits, primarily due to expiration of the R&D tax credit. GAAP earnings per fully diluted share from continuing operations are expected to be in the range of $1.20 to $1.36, compared to the 2009 GAAP loss per share of $6.47. These expected 2010 earnings per share represent an increase of 2 to 15 percent versus our adjusted earnings results in 2009 of $1.18. Financial guidance in tabular format is included in the attached schedule.


The Company will webcast the entire conference beginning at 9 a.m. EST on Tuesday, December 15, 2009. The webcast will be available at or and will be archived on the company's website until December 14, 2010, for those who are unable to listen to the live webcast.


Hill-Rom is a leading worldwide manufacturer and provider of medical technologies and related services for the health care industry, including patient support systems, safe mobility and handling solutions, non-invasive therapeutic products for a variety of acute and chronic medical conditions, medical equipment rentals, and information technology solutions. Hill-Rom's comprehensive product and service offerings are used by health care providers across the health care continuum and around the world in hospitals, extended care facilities and home care settings to enhance the safety and quality of patient care.

Hill-Rom...enhancing outcomes for patients and their caregivers.


Certain statements in this press release contain forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, regarding the Company's future plans, objectives, beliefs, expectations, representations and projections. The Company has tried, wherever possible, to identify these forward-looking statements using words such as "intend," "anticipate," "believe," "plan," "encourage," "expect," "may," "goal," "become," "pursue," "estimate," "strategy," "will," "projection," "forecast," "continue," "accelerate," "promise," "increase," "higher," "lower," "reduce," "improve," "expand," "progress," "potential" or the negative of those terms or other variations of them or by comparable terminology. The absence of such terms, however, does not mean that the statement is not forward-looking. It is important to note that forward-looking statements are not guarantees of future performance, and the Company's actual results could differ materially from those set forth in any forward-looking statements. Factors that could cause actual results to differ from forward-looking statements include but are not limited to: the Company's dependence on its relationships with several large group purchasing organizations, whether the Company's new products are successful in the marketplace, impacts of health care reform, compliance with federal health care programs, collections of accounts receivable, compliance with FDA regulations, antitrust litigation, potential exposure to product liability or other claims, failure of the Company's announced strategic initiatives and restructuring and realignment activities to achieve expected growth, future restructuring or realignment activities, efficiencies or cost reductions, adverse consequences resulting from the recent spin-off of the funeral service business, failure of the Company to execute its acquisition and business alliance strategy through the consummation and successful integration of acquisitions or entry into joint ventures or other business alliances, increased costs or unavailability of raw materials, labor disruptions, the ability to retain executive officers and other key personnel, liquidity of auction rate securities and certain tax-related matters. For a more in depth discussion of these and other factors that could cause actual results to differ from those contained in forward-looking statements, see the discussions under the heading "Risk Factors" in the Company's Annual Report on Form 10-K for the period ended September 30, 2009, which was previously filed with the Securities and Exchange Commission. The Company assumes no obligation to update or revise any forward-looking statements.


Hill-Rom provides earnings per share on an adjusted basis from continuing operations because the company's management believes that the presentation provides useful information to investors. Among other things, it may assist investors in evaluating the company's operations period over period, which is also the basis on which it generally is most reasonable to forecast results. This measure may exclude such items as strategic developments (including restructurings and product line changes) and significant litigation. Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the company's reported operations for a period. Often, prospective quantification of them is not reasonable. Management uses these measures internally for planning, forecasting and evaluating the performance of the business, including allocating resources and evaluating results relative to employee performance compensation targets. Investors should consider non-GAAP measures in addition to, not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP.

    Financial Guidance for Fiscal Year 2010

                                             Actual       2010 Range
    ($ in millions, except EPS)                2009     Low       High

    Net Revenues
       Capital sales                           $922    $958     $1,000
       Rental revenues                          465     487        500
                                                ---     ---        ---
    Total revenues                            1,387   1,445      1,500
            YoY % Change                       -8.0%    4.2%       8.2%
       Capital sales gross margin %            39.7%   40.4%      41.6%
       Rental revenues gross margin %          56.3%   56.3%      57.3%
       Total gross margin %                    45.3%   45.8%      46.8%
    Other operating expenses                    517     537        561
    Special charges and other items
     (see below)                                493       -          -
    Operating Profit (Loss)                    (383)    124        142
    Other income / (expense )                     4      (6)        (7)
                                                ---     ---        ---
    Income (Loss) from Continuing Operations
     before Income Taxes -GAAP                $(379)   $118       $135
                                              -----    ----       ----

    Impairment of goodwill and other
     intangibles                                473       -          -
    Liko acquisition inventory step               3       -          -
    Liko acquisition integration charges          2       -          -
    Gain on sale of non-strategic assets (2)    (10)      -          -
    Special charges (3)                          21       -          -
                                                ---     ---        ---
    Income from Continuing Operations before
     Income Taxes -Adjusted (4)                $110    $118       $135

    Earnings (Loss) per share - GAAP (1)     $(6.47)  $1.20      $1.36
    Impairment of goodwill and other
     intangibles                               7.52       -          -
    Liko acquisition inventory step-up         0.03       -          -
    Liko acquisition integration charges       0.02       -          -
    Gain on sale of non-strategic assets (2)  (0.13)      -          -
    Special charges (3)                        0.20       -          -
                                               ----     ---        ---
    Earnings per share - Adjusted (4)         $1.18   $1.20      $1.36

    Note:  Certain per share amounts ma y not accurately add due to

    (1) Effective tax rate for fiscal 2010 is estimated to be 3 6%,
    excluding discrete tax items.

    (2) Reflects gains on sale of patient flow assets to TeleTracking
    and sale of certain intellectual property related to negative
    pressure wound therapy (NPWT).

    (3) Special charge s in fiscal 2009 include year-to-date charge of
    $20.5 million related to actions to streamline and manage our cost

    (4) Adjusted earnings in fiscal 2009 have not been adjusted to remove
    the effects of discrete period tax adjustments recognize d except to
    the extent that they relate specifically to one of the highlighted
    adjustments.  Discrete period tax adjustments are routinely recognized
    throughout any given year under a variety of circumstances and are
    highly subjective in nature.  For fiscal year 2009, discrete tax
    benefits (not related to the above adjustments) totaled $2 .5 million
    ($0.04 per share).

SOURCE Hill-Rom Holdings, Inc.

SOURCE Hill-Rom Holdings, Inc.
Copyright©2009 PR Newswire.
All rights reserved

Related medicine technology :

1. Hill-Rom Introduces Innovative Smart Bed for Medical-Surgical Settings
2. Hill-Rom Announces Appointment of James R. Giertz to Board of Directors
3. Hill-Rom to Host Investors Conference in New York City
4. Hill-Rom and Encompass Group Form Joint Venture
5. Hill-Rom Holdings, Inc. Invites You to Join Its Fiscal 2009 Fourth Quarter Earnings and 2010 Financial Guidance Webcast
6. Hill-Rom Announces Corporate Governance Enhancements
7. Cardinal Health Executives to Speak at Two Investor Events in January
8. Ohr Pharmaceutical Selects Allen & Caron for Investor Relations, Corporate Communications
9. Echo Therapeutics Announces Consulting Agreement with Hayden IR to Develop and Implement a Strategic Investor Relations Campaign
10. Genoptix Announces Participation at Deutsche Bank 2009 MedTools Investor Conference
11. Onyx Pharmaceuticals to Host American Society of Hematology (ASH) Investor Teleconference
Post Your Comments:
(Date:3/30/2021)... ... March 29, 2021 , ... The University of Texas Health Science Center ... San Antonio Multispecialty and Research Hospital, a destination center for research and treatment of ... In a nod to the COVID-19 pandemic, the ceremony was held virtually. , William ...
(Date:3/30/2021)... ... March 29, 2021 , ... Iora Health ... primary care, has partnered with Devoted Health , one of the fastest-growing ... across Maricopa County and provides seniors with the highest-quality care and experience possible, ...
(Date:3/30/2021)... CITY (PRWEB) , ... March 29, 2021 , ... ... has joined the Vaccine Credential Initiative (VCI), a group bringing together leading health ... record of vaccination status, based on open, interoperable standards. By joining the VCI ...
Breaking Medicine Technology:
(Date:3/30/2021)... , ... March 29, 2021 , ... ... the 21st Century , A Virtual Workshop Presented by WCG FDAnews and Cerulean ... 4:30 pm EDT, , Are one’s SOPs written for the ...
(Date:3/30/2021)... ... March 29, 2021 , ... According to data released ... reproductive age (13-44) in need of publicly funded contraception live in counties impacted by ... Colorado’s 64 counties have lost some of their Title X resources. , The ...
(Date:3/30/2021)... ... March 29, 2021 , ... Health Literacy Innovations (HLI), a ... confusion due to low health literacy today announces a new partnership with the ... work with ACAP’s member Safety Net Health Plans, those that provide comprehensive health ...
(Date:3/30/2021)... ... ... Dr. Colin Campbell is proud to announce the 1 year anniversary in their new state ... internal medicine and is a primary care specialist who has been practicing for 23 years. ... keep South Jersey healthy one patient at a time. , “Over the past year, Dr. ...
(Date:3/30/2021)... ... March 30, 2021 , ... The COVID-19 ... and survivors; their families; and their caregivers. Crossroads4Hope is addressing the needs of ... emotional support system, MyGo2Support, which meets needs of people impacted by cancer, no ...
Breaking Medicine News(10 mins):