UPDATE 1-Getinge sees demand slowing, shares fall

* Q3 pretax profit 685 mln SEK vs forecast 671 mln in poll

* Says pretax profit to remain strong in 2010, 2011

* Expects greater restraint in investments in western Europe

* Shares slip 2.9 percent

(Adds background, details)

STOCKHOLM, Oct 19 (BestGrowthStock) – Swedish medical technology
group Getinge (GETIb.ST: ) forecast slower demand in Europe next
year, as it posted third-quarter pretax profit roughly in line
with expectations on Tuesday, knocking the shares lower.

The Swedish group, which sells equipment to hospitals around
the world and competes against the healthcare arms of Philips
Electronics (PHG.AS: ) and General Electric (GE.N: ), said earnings
growth would remain strong this year and in 2011.

However, it noted greater restraint in medical-technical
capital goods investments in western Europe and said it expected
that trend could continue into next year.

“The demand scenario in the North American market continues
to improve at a reasonable rate, while demand in the emerging
markets continued to show strength,” the company added in a
statement.

Getinge is most active in Europe, where budget constraints
in several European countries are seen curbing demand in what is
usually a steady source of revenue for the firm.

Its shares were down 2.9 percent at 1053 GMT while the wider
Stockholm blue-chip index (.OMXS30: ) was up 1.0 percent.

Quarterly pretax earnings at the firm, which sells a range
of products from mattresses to life support systems, was 685
million Swedish crowns ($102.5 million), slightly above the 671
million seen in a Reuters poll of analysts, and above 675
million in the second quarter.

Analysts have pointed to an increasing number of negative
profit warnings in the medical device sector due to greater
price competition and weaker demand from hospitals in Europe due
to regional economic woes.
(Editing by Mike Nesbit)
($1=6.681 Swedish Crowns)

UPDATE 1-Getinge sees demand slowing, shares fall