MILAN, July 30 Italian biomedical group Sorin
plans to focus on growth through mergers and
acquisitions, continuing a shift from European markets to
emerging markets, the company said as it reported second-quarter
earnings on Monday.
"Our focus is moving out of Europe into emerging stories
both from a distribution point of view and for mergers and
acquisitions," a Sorin representative said in a conference call.
Sorin, which provides equipment for the treatment of
cardiovascular disease, suffered a blow to its domestic
operations with the twin earthquakes that damaged its Mirandola
plant in May. However, the company said on Monday that the cost
of the damage is expected to come in at the lower end of
estimates and not affect its full-year outlook.
Last month the company estimated that the temporary closure
at Mirandola, one of areas that were worst affected by the
quakes that struck the Emilia-Romagna region, would dent
revenues by between 90 million euros ($110.18 million) and 100
"The earthquakes in Emilia-Romagna had a significant impact
on our Cardiopulmonary manufacturing site, but ... we are
confident of restoring operations fully by the beginning of
September," Chairman Rosario Bifulco said.
Sorin's second-quarter revenues fell to 188.2 million euros
($232.80 million), against 191.7 million euros in the previous
quarter, with the dip in production at Mirandola denting
revenues by about 17 million euros and net profit by 11 million
Analysts said that second-quarter revenue was 4 percent
above the consensus forecast, with particularly strong
performance from the Cardiopulmonary division in Japan, Canada
and emerging markets.
Sorin has been at the centre of attention since Britain's
Charterhouse and other industrial investors began
courting the company last month. Sources close to the matter
said the parties were interested in buying a stake, though no
formal offer had been made.