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Philips breaks ground on 9,400-square-foot expansion to Reedsville ultrasound facility

Philips Ultrasound, a leading manufacturer of ultrasound technology, will break ground Thursday on a 9,400-square-foot addition to its existing facility in Reedsville, the company announced Wednesday.

The addition will feature an environmentally controlled room designed for manufacturing transducer designs. There will also be a new cafeteria and fitness center for the facility’s 430 employees.

Construction is expected to be completed by early 2017, the company said in a statement. The existing 2,500-square-foot facility will also undergo an interior renovation.

The expansion comes at a time when Philips Ultrasound, which acquired the Reedsville location in 1998, continues to see growth. The company, a subsidiary of Royal Philips, of the Netherlands, contributed to Philips’ 5 percent growth in health care technology sales during the first quarter.

In May, Philips’ lighting business launched its initial public offering, a separation from the roots of its 125-year-old parent company. Philips decided to shift its resources to its more profitable health care sector, which is responsible for 42 percent of the company’s global sales revenue.

Fortune reported Philips has a market capitalization of about $24.5 billion.

Ultrasound technology, meanwhile, has rapidly advanced, spanning a number of different medical specialties and at a lower cost.

Called the “Swiss Army knife of health care,” by Stanford Medicine, ultrasound is used in emergency and various other clinical situations in addition to prenatal care. According to the medical school, the technology can play a critical role in evaluating cardiovascular, respiratory and digestive systems among others.

Philips Ultrasound, based in Bothell, Wash., also has a location in Massachusetts. Its Reedsville location produces transducers that are sold globally.

Roger Van Scyoc: 814-231-4698, @rogervanscy

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