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Varian Medical Systems Reports Results for First Quarter of Fiscal Year 2011
Date:1/26/2011

radiotherapy, radiosurgery, and brachytherapy totaled $452 million, up 5 percent from the same period last fiscal year.  First quarter net orders totaled $459 million, up 5 percent versus the year-ago period or 6 percent on a constant currency basis.  Net orders rose 20 percent in North America.  Even with double-digit net order gains in the company's European region as well as in China, total international net orders fell by 6 percent due to the steep decline in Japan, which is returning to more normal spending patterns following a two-year stimulus program that ended last March.

"Oncology Systems continued to experience healthy demand for our new TrueBeam system for radiotherapy and radiosurgery, particularly in North America where it comprised a majority of our machine orders," Guertin said.  "With the help of TrueBeam shipments and software upgrades as well as improved installation and warranty costs, the gross margin for this business unit hit a record level, rising by about one point versus the year-ago period."  

X-Ray ProductsX-Ray Products first quarter revenues from sales of X-ray tubes and flat panel digital detectors for filmless imaging were $112 million, up 22 percent from the year-ago quarter.  Compared to the same period in fiscal year 2010, X-Ray Products' first quarter net orders rose 13 percent to $112 million.  

"Strong demand for tubes and flat panels for fast filmless X-ray imaging drove X-Ray Products' sales growth during the quarter," said Guertin.  "Higher shipment volumes and improved costs of quality during the quarter led to a one point gain and a record gross margin for this business."OtherThe company's Other category, which is comprised of the Security and Inspection Products (SIP) business, the Varian Particle Therapy business, and the Ginzton Technology Center, recorded first quarter revenues of $16 million, down 19 percent from the year-ago period.  Net ord
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SOURCE Varian Medical Systems
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