The Newborn Care Business of Natus Medical Inc. (BABY) is a Reassuring Profit Model
Though 2006 ended for this company with disappointing business results compared to a profitable 2005, the management has achieved a noteworthy turn-around during the quarter ended September 2007. Stock analysts expect the business improvement trend to continue in the foreseeable future. This confidence stems from the comprehensive restructuring plan the management has set in motion. This strategy has three important components: first, to rationalize manufacturing operations and sites that are currently strung out from Illinois to Seattle and Ontario. Second, the company has decided to eliminate wasteful duplication within the multiple sales forces it has inherited from earlier acquisitions. Finally,…