Boston Scientific Profit Jumps 15 Percent In Q4, Topping Analyst Predictions
Medtech giant Boston Scientific Corp. finished 2016 strong with year-over-year sales increases in all seven of its business units during the fourth quarter.
The Marlborough, Massachusetts-based company—which employs about 7,200 workers in Minnesota—generated $2.19 billion in sales during the three-month period ending December 31, up 11 percent compared to the same period last year. That was in part due to strong demand for products in its interventional cardiology and urology and pelvic health businesses.
Profits, excluding one-time charges, jumped 15 percent from the year-ago quarter to $415 million, or 30 cents per share. The result topped Wall Street’s predictions, as analysts had expected earnings per share of 29 cents.
For its full fiscal year, Boston Scientific posted revenues of $8.39 billion and an adjusted net income of $1.53 billion, or $1.11 per share. Both outcomes beat 2015 full-year numbers of $7.48 billion in revenue with $1.27 billion in adjusted net income, or 93 cents per share.
“Boston Scientific delivered excellent financial results in 2016, with accelerated revenue growth, improved profitability, and strong double digit adjusted [earnings per share] growth,” said Mike Mahoney, CEO of Boston Scientific, in a statement. “Our strategy of category leadership in key markets and diversification into high growth adjacencies is working, and enabling continued investment in innovative medical technologies.”
Boston Scientific is anticipating 3 to 6 percent sales growth during fiscal 2017, amounting to between $8.675 billion and $8.875 billion in revenue. Adjusted earnings per share are expected to range between $1.22 and $1.26, the company said.
Shares rose nearly 4.5 percent following Thursday’s quarterly report, jumping from $23.96 a share at end of day Wednesday to as high as $25.33 on Thursday.