Chindex 2Q profit falls on flat revenue

AP News
Posted: Nov 09, 2009 11:32 AM

Chindex International Inc., which sells medical products in China, said Monday its second-quarter profit fell as revenue remained flat and taxes rose.

Chindex earned $538,000, or 3 cents per share, down from profit of $862,000, or 5 cents per share, during the same period a year prior. Revenue remained flat at $38.1 million.

Product sales fell 10 percent to $17.1 million. Health care services revenue rose 10 percent to $21 million.

Chindex's income tax provision quadrupled from last year to about $1 million.

"Our second quarter reflects continued growth in the Healthcare Services division, offset by disruption related to construction at our Beijing facility," said President and CEO Roberta Lipson, in a statement.

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She said the medical products unit faced regulatory delays on high-value equipment purchases.

Shares of Chindex fell $4.01, or 24 percent, to $12.20 in morning trading. The stock has traded between $3.50 and $16.46 over the last 52 weeks.