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Boston Scientific Profit Tops Estimates on Sales (Update1)

By Tom Randall

July 20 (Bloomberg) -- Boston Scientific Corp.’s second- quarter profit rose 61 percent, topping estimates, on higher sales of new stents and heart pumps.

Net income increased to $158 million, or 10 cents a share, from $98 million, or 7 cents, a year earlier, the Natick, Massachusetts-based company said today in a statement. Profit beat by 7 cents the 13 cent average estimate of 20 analysts surveyed by Bloomberg.

Revenue climbed 2.5 percent to $2.07 billion on a 14 percent jump in worldwide sales of drug-coated stents and a 10 percent increase in implantable devices to manage the rhythm of the heart. The company received U.S. approval for two new versions of its Taxus heart stent in the quarter and released a study on June 23 that found its device for synchronizing cardiac contractions slowed the progression of heart failure when implanted in patients with few or no symptoms.

“New products accounted for more than 40 percent of our sales this quarter, and we continue to bring a wide range of innovations to market,” said Ray Elliott, chief executive officer of Boston Scientific, in the statement. “We delivered sales and earnings at the high end of our guidance range with almost all businesses and regions reporting solid results.”

Boston Scientific forecast third-quarter profit of 17 cents to 21 cents a share, excluding certain one-time items. Analysts had estimated 15 cents a share.

The shares rose 59 cents, or 5.7 percent, to $10.89 at 6:30 p.m., after the close of regular trading on the New York Stock exchange.

To contact the reporter on this story: Tom Randall in New York at trandall6@bloomberg.net.

Last Updated: July 20, 2009 18:34 EDT

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