Boston Scientific Announces Results for Third Quarter 2024
MARLBOROUGH, Mass., Oct. 23, 2024 /PRNewswire/ -- Boston Scientific Corporation (NYSE: BSX) generated net sales of $4.209 billion during the third quarter of 2024, growing 19.4 percent on a reported basis, 19.5 percent on an operational1 basis and 18.2 percent on an organic2 basis, all compared to the prior year period. The company reported GAAP net income attributable to Boston Scientific common stockholders of $469 million or $0.32 per share (EPS), compared to $505 million or $0.34 per share a year ago, and achieved adjusted3 EPS of $0.63 for the period, compared to $0.50 a year ago.
"Our sustained high performance is a testament to the strength of our talented global team, differentiated portfolio and category leadership strategy," said Mike Mahoney, chairman and chief executive officer, Boston Scientific. "We continue to gain momentum driven by our product pipeline, clinical evidence and commercial execution that position us well for the long term."
Third quarter financial results and recent developments:
Reported net sales of $4.209 billion, representing an increase of 19.4 percent on a reported basis, compared to the company's guidance range of 13 to 15 percent; 19.5 percent on an operational basis; and 18.2 percent on an organic basis, compared to the company's guidance range of 13 to 15 percent, all compared to the prior year period.
Reported GAAP net income attributable to Boston Scientific common stockholders of $0.32 per share, compared to the company's guidance range of $0.36 to $0.38 per share, and achieved adjusted EPS of $0.63 per share, compared to the guidance range of $0.57 to $0.59 per share.
Achieved the following net sales growth in each reportable segment, compared to the prior year period:
MedSurg: 10.3 percent reported, 10.4 percent operational and 7.7 percent organic
Cardiovascular: 25.0 percent reported, 25.1 percent operational and 24.6 percent organic
Achieved the following net sales growth in each region, compared to the prior year period:
United States (U.S.): 23.5 percent reported and operational
Europe, Middle East and Africa (EMEA): 15.2 percent reported and 14.3 percent operational
Asia-Pacific (APAC): 12.1 percent reported and 12.3 percent operational
Latin America and Canada (LACA): 9.0 percent reported and 15.1 percent operational
Emerging Markets4: 15.2 percent reported and 16.8 percent operational
Received U.S. Food and Drug Administration (FDA) approval for the navigation-enabled FARAWAVE™ NAV Ablation Catheter for the treatment of paroxysmal atrial fibrillation (AF) and FDA 510(k) clearance for the new FARAVIEW™ Software, which combine to provide visualization for cardiac ablation procedures with the FARAPULSE™ Pulsed Field Ablation (PFA) System.
Announced Pharmaceuticals and Medical Device Agency (PMDA) approval in Japan for the FARAPULSE PFA System.
Received CE mark and initiated the European launch of the ACURATE Prime™ Aortic Valve System, the company's next-generation transcatheter aortic valve replacement technology designed to treat severe aortic stenosis in patients across all surgical risk levels while also expanding the treatment range to patients with a larger anatomy.
Received FDA approval to expand the indication for current-generation INGEVITY™+ Pacing Leads to include conduction system pacing and sensing of the left bundle branch area of the heart when connected to a single- or dual-chamber pacemaker.
Received CE mark for the LUX-Dx II/II+™ Insertable Cardiac Monitor System for long-term monitoring of arrhythmias.
Recently published in The Spine Journal an analysis for basivertebral nerve ablation that demonstrated the Intracept™ Intraosseous Nerve Ablation System at the five-year follow-up is a cost-effective treatment for vertebrogenic chronic low back pain compared to standard care alone (e.g., medication, physical therapy).
Completed the acquisition of Silk Road Medical, Inc., (NASDAQ:SILK) a publicly traded medical technology company that commercialized a platform of products to prevent stroke in patients with carotid artery disease.
Elected to the company's board of directors David Habiger, president and chief executive officer of J.D. Power.
1. Operational net sales growth excludes the impact of foreign currency fluctuations.
2. Organic net sales growth excludes the impact of foreign currency fluctuations and net sales attributable to acquisitions and divestitures for which there are less than a full period of comparable net sales.
3. Adjusted EPS excludes the impacts of certain charges (credits) which may include amortization expense, goodwill and other intangible asset impairment charges, acquisition/divestiture-related net charges (credits), investment portfolio net losses (gains) and impairments, restructuring and restructuring-related net charges (credits), certain litigation-related net charges (credits), European Union Medical Device Regulation (EU MDR) implementation costs, debt extinguishment net charges, deferred tax expenses (benefits) and certain discrete tax items.
4. Periodically, we assess our list of Emerging Markets countries, and effective January 1, 2023, modified our list to include all countries except the United States, Western and Central Europe, Japan, Australia, New Zealand and Canada.
Net sales for the third quarter by business and region:
Increase/(Decrease)
Three Months Ended
September 30,
Reported Basis
Impact of Foreign Currency Fluctuations
Operational
Basis
Impact of Recent Acquisitions/Divestitures
Organic Basis
(in millions)
2024
2023
Endoscopy
$ 678
$ 629
7.8 %
0.1 %
7.9 %
(0.5) %
7.4 %
Urology
532
483
10.3 %
0.1 %
10.4 %
— %
10.4 %
Neuromodulation
268
229
17.0 %
0.1 %
17.1 %
(14.4) %
2.7 %
MedSurg
1,479
1,341
10.3 %
0.1 %
10.4 %
(2.7) %
7.7 %
Cardiology
2,129
1,647
29.2 %
0.1 %
29.3 %
— %
29.3 %
Peripheral Interventions
602
538
11.8 %
0.1 %
12.0 %
(1.7) %
10.3 %
Cardiovascular
2,731
2,185
25.0 %
0.1 %
25.1 %
(0.4) %
24.6 %
Net Sales
$ 4,209
$ 3,527
19.4 %
0.1 %
19.5 %
(1.3) %
18.2 %
Increase/(Decrease)
Three Months Ended September 30,
Reported Basis
Impact of Foreign Currency Fluctuations
OperationalBasis
(in millions)
2024
2023
U.S.
$ 2,593
$ 2,099
23.5 %
— %
23.5 %
EMEA
773
671
15.2 %
(1.0) %
14.3 %
APAC
684
611
12.1 %
0.2 %
12.3 %
LACA
159
146
9.0 %
6.1 %
15.1 %
Net Sales
$ 4,209
$ 3,527
19.4 %
0.1 %
19.5 %
Emerging Markets4
$ 684
$ 594
15.2 %
1.5 %
16.8 %
Amounts may not add due to rounding. Growth rates are based on actual, non-rounded amounts and may not recalculate precisely.
Net sales growth rates that exclude the impact of foreign currency fluctuations and/or the impact of acquisitions/divestitures are not prepared in accordance with U.S. GAAP.
Guidance for Full Year and Fourth Quarter 2024
The company estimates net sales growth for the full year 2024, versus the prior year period, to be approximately 16.5 percent on a reported basis and 15 percent on an organic basis. Full year organic net sales guidance excludes the impact of foreign currency fluctuations and net sales attributable to acquisitions and divestitures for which there are less than a full period of comparable net sales. The company estimates EPS on a GAAP basis in a range of $1.28 to $1.30 and estimates adjusted EPS, excluding certain charges (credits), of $2.45 to $2.47.
The company estimates net sales growth for the fourth quarter of 2024, versus the prior year period, to be in a range of approximately 16.5 to 18.5 percent on a reported basis, and 14 to 16 percent on an organic basis. Fourth quarter organic net sales guidance excludes the impact of foreign currency fluctuations and net sales attributable to acquisitions and divestitures for which there are less than a full period of comparable net sales. The company estimates EPS on a GAAP basis in a range of $0.41 to $0.43 and adjusted EPS, excluding certain charges (credits), of $0.64 to $0.66.
Conference Call InformationBoston Scientific management will be discussing these results with analysts on a conference call today at 8:00 a.m. ET. The company will webcast the call to interested parties through its website: investors.bostonscientific.com. Please see the website for details on how to access the webcast. The webcast will be available for approximately one year on the Boston Scientific website.
About Boston ScientificBoston Scientific transforms lives through innovative medical technologies that improve the health of patients around the world. As a global medical technology leader for more than 45 years, we advance science for life by providing a broad range of high-performance solutions that address unmet patient needs and reduce the cost of health care. Our portfolio of devices and therapies helps physicians diagnose and treat complex cardiovascular, respiratory, digestive, oncological, neurological and urological diseases and conditions. Learn more at www.bostonscientific.com and connect on LinkedIn and X, formerly Twitter.
Cautionary Statement Regarding Forward-Looking StatementsThis press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements may be identified by words like "anticipate," "expect," "project," "believe," "plan," "estimate," "may," "intend" and similar words. These forward-looking statements are based on our beliefs, assumptions and estimates using information available to us at the time and are not intended to be guarantees of future events or performance. These forward-looking statements include, among other things, statements regarding our expected net sales; reported, operational and organic revenue growth rates; reported and adjusted EPS for the fourth quarter and full year 2024; our financial performance; acquisitions; clinical trials; our business plans and product performance; and new and anticipated product approvals and launches. If our underlying assumptions turn out to be incorrect, or if certain risks or uncertainties materialize, actual results could vary materially from the expectations and projections expressed or implied by our forward-looking statements. These factors, in some cases, have affected and in the future (together with other factors) could affect our ability to implement our business strategy and may cause actual results to differ materially from those contemplated by the statements expressed in this press release. As a result, readers are cautioned not to place undue reliance on any of our forward-looking statements.
Risks and uncertainties that may cause such differences include, among other things: economic conditions, including the impact of foreign currency fluctuations; future U.S. and global political, competitive, reimbursement and regulatory conditions; geopolitical events; manufacturing, distribution and supply chain disruptions and cost increases; disruptions caused by cybersecurity events; disruptions caused by public health emergencies or extreme weather or other climate change-related events; labor shortages and increases in labor costs; variations in outcomes of ongoing and future clinical trials and market studies; new product introductions; expected procedural volumes; the closing and integration of acquisitions; demographic trends; intellectual property; litigation; financial market conditions; the execution and effect of our business strategy, including our cost-savings and growth initiatives; and future business decisions made by us and our competitors. New risks and uncertainties may arise from time to time and are difficult to predict accurately and many of them are beyond our control. For a further list and description of these and other important risks and uncertainties that may affect our future operations, see Part I, Item 1A - Risk Factors in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission, which we may update in Part II, Item 1A - Risk Factors in Quarterly Reports on Form 10-Q we have filed or will file hereafter. We disclaim any intention or obligation to publicly update or revise any forward-looking statements to reflect any change in our expectations or in events, conditions, or circumstances on which those expectations may be based, or that may affect the likelihood that actual results will differ from those contained in the forward-looking statements, except as required by law. This cautionary statement is applicable to all forward-looking ...
