Invacare's sales decline
ELYRIA, Ohio - Medicare's "disruptive" policies for oxygen and power wheelchair reimbursement has forced "providers to reduce their purchases and lower their inventory levels." In turn, that helped reduce Invacare's net sales for the third quarter by 4%, from $395.3 million last year to $379.5 this year.
The company released it financial results for the third quarter, which ended Sept. 30, in late October. Net sales in Europe increased 2% to $113.9 million, but in North America, the company took a real beating. For example:
* Respiratory products sales decreased 15%, largely due to slower demand for the HomeFill oxygen system. Sales to small providers and independents declined 34%.
* Rehab products sales decreased 9%, due primarily to reimbursement issues. Sales of consumer power chairs were down 17% and custom power wheelchair sales were down 12%.