Global medical technology company Hologic has reported a revenue of 1.02bn for the second quarter (Q2) ended 1 April 2023.

The company witnessed a 28.5% decline in revenue compared to $1.43bn during Q2 (three-month period ended 26 March) of fiscal 2022.

The fall in revenue was mainly attributed to significantly lower sales of COVID-19 assays, compared to the same period a year ago.

The company’s total organic revenue, excluding Covid-19 revenue, grew by 20.2% during Q2 2023, compared to the prior year period.

Gross margin declined by 880 basis points (bps) to 57.1% from 65.9% in Q2 2022, while operating margin decreased by 1,490bps to 26.5%.

During the quarter, the diluted earnings per share (EPS) was $0.87 against $1.8 in the corresponding period in 2022.

Hologic’s Diagnostics business generated a revenue of $464.7m during Q2 2023, down by 52.9% from $987.1m in the same quarter a year ago.

The breast health business witnessed a 24.2% increase in revenue to $385.4m during the quarter, driven by improving semiconductor chip supply.

The surgical business saw a 23.4% revenue growth from $117.3m in Q2 2022 to $144.8m in Q2 2023.

The company generated a revenue of $768.7m in the US market, down by 22.5% from the corresponding period last year. Its international revenue decreased by 41.9% to $257.8m.

Hologic chairman, president and CEO Steve MacMillan said: “Hologic posted robust financial results in our second fiscal quarter, with both revenue and earnings exceeding our prior guidance.

“Each of our core franchises grew double digits in the period, with consolidated organic growth of more than 20%, excluding the impact of COVID.

“Our breast health and surgical businesses delivered exceptional performance, both growing over 23% – or over 25% in constant currency and our diagnostics business again delivered strong results. We are also pleased to increase our full-year guidance once again.”