Cochlear net grows 32% thanks to new products

Cochlear Limited (ASX:COH) revealed its net profit for the second half of FY14 grew 32% year-on-year to $72.7 million, due in part to to the successful launch of multiple new products.

Sales revenue grew 28% year on year to $443.9 million, with core cochlear implant unit sales increasing by 10% to 14,285 over the same period.

During the half-year, the company introduced new products including the Nucleus Profile implant series of hearing devices, the Nucleus 6 and Baha 4 sound processors and the electroacoustic stimulation hearing solution Hybrid.

“By the end of FY14, new products had been launched in all [Cochlear’s] product categories,” Cochlear CEO Dr Chris Roberts commented. “While it is still early in the product release cycle, record sales in the second half gives us confidence as we go into FY15.”

He said the company is anticipating further regulatory approvals for new products in the financial year ahead.

Americas sales revenue grew 27% year on year to $320.8 million, EMEA revenue grew 32% to $358.4 million and APAC sales grew 20% to $83.7 million. In constant currencies, these gains would have been a more modest 16%, 17% and 13% respectively.

Full-year net profit declined to $109.5 million from $132.6 million, but the FY14 results were impacted by a patent dispute provision worth $15.8 million after tax. Full-year sales revenue grew 14.8% to $820.9 million.

Cochlear (ASX:COH) shares were trading 8.63% higher at $67.935 as of around 2 pm on Tuesday.