Hologic profits $1.2B in three months, on strength of COVID tests

Photo | Grant Welker Hologic's Marlborough headquarters

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By Sam Bonacci

Marlborough medical technology device company Hologic announced on Tuesday a nearly 90% increase in revenue in the first quarter of 2021, resulting in $1.18 billion in gross profit.

“Hologic had a strong start to fiscal 2021 across all our businesses and major geographies,” said Hologic’s Chairman, President and CEO Steve MacMillan in a release.

MacMillan went on to say revenue growth, up 262.2% for the quarter ended on Dec. 26 compared to the same quarter in the previous year, was from the company’s Diagnostics division. That division has been bolstered by the ongoing need for COVID-19 tests, with $1.128 billion in revenue in the first quarter of the year.

As of 1 p.m. Thursday, the company's stock price increased 6.5% in the day's trading on the Nasdaq, coming in at $77.20 per share.

The rest of the company’s divisions mostly saw minor growth, leaving the Diagnostics division the main driver of the company’s $1.18 billion in gross profit, up from $433.8 million in the first quarter of 2020.

The company’s first quarter performance resulted in a diluted earnings per share of $2.50, up 74.8% from the same quarter last year.

The strong earnings announcement followed two recent acquisitions of a San Diego cancer test company for $230 million and a German biopsy firm for $64 million.