Hill-Rom Holdings, which makes beds, lifts and other types of medical equipment, reported improved second-quarter revenue thanks to strong capital sales in its North American segment and an acquisition in August.
North American revenue was $26 million, up 10% in the three months ended March 31. Capital sales were up 16%, while rental revenue decreased 2 percent, partly because of the Batesville, Ind.-based company's recent exit from the third party reimbursed home-care rental business.
Revenue from surgical and respiratory-care products was up 83%, almost entirely from Hill-Rom's $250 million acquisition in August of medical equipment supplier Trumpf Medical. The segment had only 1% organic revenue growth in the second quarter.
The company introduced the Compella Bariatric Bed and the LikoGuard L/XL Overhead Lift System during the quarter.
Excluding the Trumpf transaction, Hill-Rom saw constant-currency growth of 6%, thanks largely to the strong North American performance. Like many companies, though, Hill-Rom's international segment was negatively affected by the strong dollar, which helped drag the company's reported quarterly revenue down 14% to $108 million.
Hill-Rom reported a $26.1 million profit with the Trumpf purchase, up significantly from Trumpf's $3.3 million net loss during the second quarter of 2014.
Hill-Rom's year-to-date net income was nearly four times higher at $38.2 million, while revenue increased 16.2% to $939.8 million.
