NZ's Fisher & Paykel expects lower revenue as hospital admissions fall

Fisher & Paykel Healthcare

22/03/2022 20:37

March 23 (Reuters) - New Zealand's Fisher & Paykel
Healthcare  FPH.NZ  on Wednesday forecast a fall of about 14% in
annual revenue, hurt mainly by lower COVID-19-related
hospitalisations globally.
    The medical device maker, which sells products in more than
120 countries, expects 2022 operating revenue of NZ$1.68 billion
($1.17 billion) to NZ$1.70 billion. 
    It had posted operating revenue of NZ$1.97 billion for 2021.
    The revenue outlook took into account the "increasing
prevalence of the Omicron variant over the last two months, its
associated lower respiratory intervention requirements as well
as a relatively mild flue season in the Northern Hemisphere",
Chief Executive Officer Lewis Gradon said. 
    New Zealand's biggest company by market value also said
freight rates remain elevated and are expected to impact the
long-term gross margin target of 65% by about 250 basis points
in 2022.
    



($1 = 1.4368 New Zealand dollars)

 (Reporting by Upasana Singh in Bengaluru; Editing by Devika
Syamnath)
 ((Upasana.Singh@thomsonreuters.com))