Along with plans for company-wide restructuring that includes workforce reductions, CareFusion Corp, a manufacturer of sleep testing and therapy products, announced a revenue increase of 19% for the fourth quarter.
The company initiated a reorganization that is expected to reduce its global workforce by approximately 700 positions. The reductions are designed to eliminate layers of management and reduce the size of the company’s supporting infrastructure.
"During fiscal 2010, we evaluated our cost structure and the strategic fit of certain businesses and are now taking the necessary steps to right size our company. Our goal is to improve our competitive position, accelerate our previously announced efforts to improve our operating margins, and enhance our focus on the core opportunities we have for growth," said David Schlotterbeck, chairman and CEO of CareFusion.
Revenue growth in the fourth quarter was driven primarily by increased sales in the company’s infusion, respiratory, and medical technologies and services businesses.
"The results we reported today reflect solid performances across our business segments in our first year as a public company. We overachieved against our original fiscal 2010 expectations with incremental positive contributions from both our infusion and respiratory businesses," Schlotterbeck said.