Masimo Corporation (MASI) has recently received a new Current Procedural Terminology (CPT) code from the American Medical Association, 88738, for its noninvasive hemoglobin (SpHb) measurement. Medicare has priced the new CPT code at $7.19 on its 2010 Medicare Clinical Laboratory Fee Schedule. The new pricing has been effective since Jan 1, 2010.
The new CPT code is an important milestone for Masimo. It will now permit health care providers to bill and receive payments from Medicare when testing eligible patients. This in turn will encourage them to use Masimo’s SpHb measurement devices that will expand the company’s top line.
Masimo develops, manufactures and markets a family of non-invasive blood monitoring systems that consist of a monitor, circuit board and sensors. The systems are primarily used to monitor blood oxygen saturation levels and protect against hypoxemia and hyperoxemia. Hypoxemia, low blood-oxygen levels, can cause brain damage and death. Hyperoxemia, high blood-oxygen levels, can permanently damage eyes and cause blindness.
Masimo SET pulse oximetry enables clinicians to continuously and non-invasively measure multiple blood constituents that previously required invasive procedures. The multiple blood constituents measured include total hemoglobin (SpHb), oxygen content (SpOC), carboxyhemoglobin (SpCO), oxyhemoglobin (SpO2), pulse rate (PR), perfusion index (PI), etc.
Masimo SET pulse oximetry eliminates the need to draw blood and wait for results. This helps physicians to immediately detect and treat potentially fatal conditions. Masimo is a leader in the pulse oximetry monitoring equipment market. The company’s closest competitors are Haemonetics Corporation (HAE) and Becton, Dickinson and Company (BDX).
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