Latest news with #MedSurg
Yahoo
21-05-2025
- Business
- Yahoo
Here's How Much You'd Have If You Invested $1000 in Boston Scientific a Decade Ago
For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries. FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks. What if you'd invested in Boston Scientific (BSX) ten years ago? It may not have been easy to hold on to BSX for all that time, but if you did, how much would your investment be worth today? With that in mind, let's take a look at Boston Scientific's main business drivers. Headquartered in Natick, MA and founded in 1979, Boston Scientific Corporation manufactures medical devices and products used in various interventional medical specialties worldwide. The company has adopted the organic as well as inorganic routes for success. Boston Scientific reorganized its operational structure and aggregated its core businesses, each of which generates revenues from the sale of Medical Devices, into two reportable segments, MedSurg (35.8% of total revenue; 2024 organic growth was 7.5% over 2023) and Cardiovascular (accounting for the rest; 21.9% organic growth in 2024). The Cardiovascular segment coprises Cardiology division (represents the combined former Rhythm Management and Interventional Cardiology businesses) and Peripheral Interventions. MedSurg group comprises 3 sub segments, viz. Endoscopy; Urology; and Neuromodulation. The company is one of the leading players in the interventional cardiology market with its coronary stent product offerings. Boston Scientific markets a broad portfolio of internally-developed and self-manufactured drug eluting stents including the Promus PREMIER, Promus Element and Promus Element Plus everolimus-eluting stents. In addition, in Europe, it markets the SYNERGY Everolimus-Eluting Platinum Chromium Coronary Stent System featuring an ultra-thin abluminal (outer) bioabsorbable polymer coating. The company also markets balloon catheters, rotational atherectomy systems, guide wires, guide catheters, embolic protection devices, and diagnostic catheters used in percutaneous transluminal coronary angioplasty (PTCA) procedures, as well as intravascular ultrasound (IVUS) imaging systems. Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Boston Scientific ten years ago, you're likely feeling pretty good about your investment today. A $1000 investment made in May 2015 would be worth $5,925.47, or a gain of 492.55%, as of May 21, 2025, according to our calculations. This return excludes dividends but includes price appreciation. The S&P 500 rose 179.44% and the price of gold increased 162.41% over the same time frame in comparison. Going forward, analysts are expecting more upside for BSX. Despite macroeconomic issues, primarily the tariff tension, and related cost inflation, Boston Scientific is seeing strength across target markets. Strong worldwide demand for its MedSurg and Cardiovascular lines, traction in United States and outside for its the next generation WATCHMAN FLX and FLX Pro, as well as contribution from accretive acquisitions are important drivers. The Pain and Brain franchisees are gaining solid traction in 2025 banking on strong execution of core growth strategies. The Electrophysiology arm continues to gain momentum on sustained adoption of FARAPULSE PFA. The 2025 guidance indicating strong organic growth over 2024 builds confidence in the stock. On the flip side, mounting costs due to worldwide geopolitical issues are major concerns. FX headwinds are expected to impact the company's top line in 2025. Shares have gained 12.09% over the past four weeks and there have been 11 higher earnings estimate revisions for fiscal 2025 compared to none lower. The consensus estimate has moved up as well. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Boston Scientific Corporation (BSX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-05-2025
- Business
- Yahoo
Solventum Reports First Quarter 2025 Financial Results
Reported sales increased 2.6%; organic sales increased 4.3% Increases full year organic sales growth outlook by 50 bps to +1.5% to +2.5% ST. PAUL, Minn., May 8, 2025 /PRNewswire/ -- Solventum (NYSE: SOLV) today reported financial results for the first quarter ended March 31, 2025. First Quarter 2025 Highlights Sales increased 2.6% to $2.1 billion; up 4.3% on an organic basis GAAP diluted earnings per share of $0.78; adjusted diluted earnings per share of $1.34 Operating cash flow of $29 million; free cash flow of $(80) million "Our first quarter fiscal year 2025 results reflect solid revenue growth across our business and the positive progress we're making as part of our 3-phased transformation," said Bryan Hanson, chief executive officer of Solventum. "During the quarter, we introduced our long-term strategic plan, and we're focused on executing that strategy to drive sustainable growth and value creation while navigating through evolving macro trends and other short-term pressures." First Quarter 2025 Financial ResultsThree months ended March 31, (Dollars in millions, except per share amounts) 20252024Year over yearchange Net sales $ 2,070$ 2,0162.6 % Selling, general and administrative expenses $ 769$ 59629.0 % Research and development expenses $ 193$ 195(1.0) % Operating income margin 7.3 %18.9 %(1,160) bps Adjusted operating income margin1 19.7 %24.0 %(430) bps Net income $ 137$ 237(42.2) % Diluted earnings per share $ 0.78$ 1.37(43.1) % Adjusted diluted earnings per share1 $ 1.34$ 2.08(35.6) % Net cash provided by operating activities $ 29$ 442(93.4) % Free cash flow1 $ (80)$ 340(123.5) % Organic sales growth in the quarter reflect positive performance from all segments, primarily driven by the MedSurg and HIS segments. GAAP and adjusted operating income margin declined due to lower gross margins, including the impact from 3M supply agreement mark-up, and an increase in operating expenses related to public company stand-up costs and growth investments. 1 Represents non-GAAP financial measure; see the "Non-GAAP Financial Measures" section for applicable information. Segment and Total Company Net Sales for First Quarter* Three months ended March 31,Increase/(Decrease) (Dollars in millions)20252024Reported GrowthCurrency ImpactConstant Currency2Other3Organic Growth Advanced Wound Care$ 448$ 4411.5 %(1.2) %2.7 %(0.2) %2.8 % Infection Prevention andSurgical Solutions7106784.7(2.0)6.7(1.5)8.2 MedSurg1,1571,1193.4(1.6)5.0(1.0)6.0 Dental Solutions328335(2.1)(1.9)(0.2)(0.6)0.4 Health Information Systems3293173.6(0.3)3.8—3.9 Purification and Filtration242245(0.9)(2.0)1.1(1.1)2.2 Corporate and Unallocated413—NMNMNMNMNM Total Company$ 2,070$ 2,0162.6 %(1.6) %4.2 %(0.1) %4.3 %*Data in the schedule above is intentionally rounded to the nearest million and, therefore, may not sum. 2 Constant currency represents the change in net sales absent the impact on sales from foreign currency translation. 3 Other represents sales impact from acquisitions and divestitures measured separately for the first 12 months post-transaction. Acquisitions include non-healthcare related supply agreements that conveyed from 3M to the Company at Spin-Off and sales from new supply agreements with 3M that commenced at Spin-Off. Divestiture impacts include certain health care businesses retained by 3M India in connection with the Spin-Off. 4 Corporate and unallocated includes sales related to product supplied to 3M and other supply agreements related to legacy 3M business and assumed by the company at Spin-Off. Full-Year 2025 GuidanceSolventum is updating its full year 2025 guidance to reflect underlying business performance and flexibility to navigate the dynamic macroeconomic environment as follows: Increased Organic sales growth range to +1.5% to +2.5% (+2.0% to +3.0% excluding ~50 bps of SKU exit impact) from prior range of +1.0% to +2.0% Adjusted EPS in the range of $5.45 to $5.65; no change Free cash flow in the range of $450M to $550M; no change Note: Full year 2025 guidance currently includes our Purification & Filtration segment. On February 25, 2025, we announced the sale of our Purification & Filtration segment. We will update our annual guidance for related impacts after the transaction closes. Organic sales, adjusted diluted EPS and free cash flow amounts included in Solventum's full-year guidance are non-GAAP financial measures. Solventum does not provide reconciliations of the forward-looking non-GAAP financial measures to the respective GAAP metrics as it is unable to predict with reasonable certainty and without unreasonable effort certain items, such as the impact of changes in currency exchange rates, impacts associated with business acquisitions or divestitures, and the timing and magnitude of restructuring activities, among other items. Please note Solventum's Q1 2024 results were reported on a carve-out basis. See the "Non-GAAP Financial Measures" section for explanations of our non-GAAP financial measures. Earnings Conference CallSolventum will host a conference call today, May 8, at 4:30 p.m. Eastern Time to discuss its first quarter financial results and provide an update on its business. The conference call can be accessed via audio webcast at or by dialing (800) 715-9871 within the U.S. or +1 (646) 307-1963 for international callers, using the conference ID 6342275. A replay of the webcast, along with the earnings press release, slides highlighting the results, and supplemental financial disclosures, will also be available at the same link on the Investor Relations section of the company's website. Forward Looking StatementsThis news release contains forward-looking information about Solventum's financial results and estimates and business prospects, including guidance for 2025, that contain or incorporate by reference statements that relate to future events and expectations and, as such, constitute forward-looking statements that involve risk and uncertainties. Forward-looking statements include those containing such words as "anticipates," "believes," "could," "estimates," "expects," "forecasts," "goal," "guidance," "intends," "may," "outlook," "plans," "projects," "seeks," "sees," "should," "targets," "will," "would," or other words of similar meaning in connection with any discussion of future operating or financial performance or business plans or prospects. Among the factors that could cause actual results to differ materially from those described in our forward looking statements are the following: (1) the effects of, and changes in, worldwide economic, political, regulatory, international, trade and geopolitical conditions, natural disasters, war, public health crises, and other events beyond Solventum's control; (2) operational execution risks; (3) damage to Solventum's reputation or its brands; (4) risks from acquisitions, strategic alliances, divestitures and other strategic events, including the divestiture of our Purification and Filtration business; (5) Solventum's business dealings involving third-party partners in various markets; (6) Solventum's ability to access the capital and credit markets and changes in Solventum's credit ratings; (7) exposure to interest rate and currency risks; (8) the highly competitive environment in which Solventum operates and consolidation in the healthcare industry; (9) reduction in customers' research budgets or government funding; (10) the timing and market acceptance of Solventum's new product and service offerings; (11) ongoing working relationships with certain key healthcare professionals; (12) changes in reimbursement practices of governments or private payers or other cost containment measures; (13) Solventum's ability to obtain components or raw materials supplied by third parties and other manufacturing and related supply chain difficulties, interruptions, and disruptive factors; (14) legal and regulatory proceedings and legal compliance risks (including third-party risks) with regards to antitrust, FCPA and other anti-bribery laws, environmental laws, anti-kickback and false claims laws, privacy laws, product liability claims, tax laws, and other laws and regulations in the United States and other countries in which Solventum operates; (15) potential liabilities related to per-and polyfluoroalkyl substances, collectively known as "PFAS"; (16) risks related to the highly regulated environment in which Solventum operates; (17) risks associated with product liability claims; (18) climate change and measures to address climate change; (19) security breaches and other disruptions to information technology infrastructure; (20) Solventum's failure to obtain, maintain, protect, or effectively enforce its intellectual property rights; (21) pension and postretirement obligation liabilities; (22) any failure by 3M Company ("3M") to perform any of its obligations under the various separation agreements entered into in connection with the separation of Solventum from 3M and distribution (the "Spin-Off"); (23) any failure to realize the expected benefits of the Spin-Off; (24) a determination by the IRS or other tax authorities that the Separation or certain related transactions should be treated as taxable transactions; (25) indebtedness incurred in the financing transactions undertaken in connection with the Separation and risks associated with additional indebtedness; (26) the risk that incremental costs of operating on a standalone basis (including the loss of synergies), costs of restructuring transactions and other costs incurred in connection with the Spin-Off will exceed Solventum's estimates; and (27) the impact of the Spin-Off on Solventum's businesses and the risk that the separation from 3M may be more difficult, time-consuming or costly than expected, including the impact on Solventum's resources, systems, procedures and controls, diversion of management's attention and the impact on relationships with customers, suppliers, employees and other business counterparties. The above list is not exhaustive or necessarily set forth in the order of importance. Forward-looking statements are based on certain assumptions and expectations of future events and trends, and actual future results and trends may differ materially from historical results or those reflected in any such forward-looking statements depending on a variety of factors. A further description of these factors is located under "Cautionary Note Regarding Forward-Looking Statements" and "Risk Factors" in Solventum's periodic reports on file with the U.S. Securities & Exchange Commission. Solventum assumes no obligation to update any forward-looking statements discussed herein as a result of new information or future events or developments. Non-GAAP Financial MeasuresIn addition to reporting financial results in accordance with U.S. GAAP, Solventum also provides non-GAAP measures that we use, and plan to continue using, when monitoring and evaluating operating performance and measuring cash available to invest in our business. The adjusted measures are not in accordance with, nor are they a substitute for, GAAP measures. These non-GAAP financial measures are supplemental measures of our performance and our liquidity that we believe help investors understand our underlying business performance and Solventum uses these measures as an indication of the strength of Solventum and its ability to generate cash. Solventum calculates forward-looking non-GAAP financial measures, including organic sales growth, adjusted operating income, adjusted operating income margin, adjusted effective tax rate, adjusted diluted earnings per share, and free cash flow based on internal forecasts that omit certain amounts that would be included in GAAP financial measures. Solventum does not provide reconciliations of these forward-looking non-GAAP financial measures to the respective GAAP metrics as it is unable to predict with reasonable certainty and without unreasonable effort certain items such as the impact of changes in currency exchange rates, impacts associated with business acquisitions or divestitures, and the timing and magnitude of restructuring activities, among other items. The timing and amounts of these items are uncertain and could have a material impact on Solventum's results in accordance with GAAP. The Q1 2025 financial statements and financial information, including reconciliations of non-GAAP financial measures, are available on Solventum's website: About Solventum At Solventum, we enable better, smarter, safer healthcare to improve lives. As a new company with a long legacy of creating breakthrough solutions for our customers' toughest challenges, we pioneer game-changing innovations at the intersection of health, material and data science that change patients' lives for the better — while empowering healthcare professionals to perform at their best. See how at Solventum Corporation CONDENSED CONSOLIDATED STATEMENTS OF INCOME* (Dollars in millions, except per-share data) (Unaudited)Three months ended March 31, 20252024 Net sales of product$ 1,597$ 1,553 Net sales of software and rentals473463 Total net sales2,0702,016 Cost of product835725 Cost of software and rentals121119 Gross profit1,1141,172 Selling, general and administrative expenses769596 Research and development expenses193195 Operating income152381 Interest expense, net10439 Other expense (income), net1113 Income before income taxes38329 Provision for (benefit from) income taxes(99)92 Net Income$ 137$ 237Earnings per share: Basic earnings per share$ 0.79$ 1.37 Diluted earnings per share0.781.37 Weighted-average number of share outstanding: Basic173.7172.7 Diluted174.8172.7*Data in the schedule above is intentionally rounded to the nearest million and, therefore, may not sum. Solventum Corporation CONDENSED CONSOLIDATED BALANCE SHEETS* (Dollars in millions, except per-share data) (Unaudited)March 31,December 31, 20252024 Assets Current assets Cash and cash equivalents$ 534$ 762 Accounts receivable — net of allowances of $83 and $869261,044 Due from related parties185185 Inventories Finished goods484539 Work in process171190 Raw materials and supplies211236 Total inventories866965 Other current assets249293 Current assets held for sale293— Total current assets3,0533,249 Property, plant and equipment — net1,1981,622 Goodwill4,9916,377 Intangible assets — net2,3652,544 Other assets814665 Non-current assets held for sale2,106— Total assets$ 14,527$ 14,457 Liabilities Current liabilities Short-term borrowings and current portion of long-term debt$ 100$ 200 Accounts payable604618 Due to related parties356272 Unearned revenue558572 Other current liabilities8911,041 Current liabilities held for sale57— Total current liabilities2,5662,703 Long-term debt7,8137,810 Pension and postretirement benefits334350 Deferred income taxes226225 Other liabilities279410 Non-current liabilities held for sale47— Total liabilities$ 11,265$ 11,498Equity Common stock par value, $0.01 par value, 750,000,000 shares authorized$ 2$ 2 Shares issued and outstanding - March 31, 2025: 173,008,211 Shares issued and outstanding - December 31, 2024: 172,785,606 Additional paid-in capital3,7813,771 Retained earnings378242 Accumulated other comprehensive income (loss)(899)(1,056) Total equity3,2622,959 Total liabilities and equity$ 14,527$ 14,457*Data in the schedule above is intentionally rounded to the nearest million and, therefore, may not sum. Solventum Corporation CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS* (Dollars in millions) (Unaudited)Three months ended March 31, (Millions)20252024 Cash Flows from Operating Activities Net income$ 137$ 237 Adjustments to reconcile net income to net cash provided by operating activities Depreciation and amortization129139 Postretirement benefit plan expense159 Stock-based compensation expense494 Gain on business divestitures—— Deferred income taxes(144)(25) Changes in assets and liabilities Accounts receivable678 Due from related parties5— Inventories(32)(52) Accounts payable9115 Due to related parties(6)— Accrued compensation(95)(46) All other operating activities(44)(17) Net cash provided by operating activities29442Cash Flows from Investing Activities Purchases of property, plant and equipment(109)(102) Other — net(5)— Net cash used in investing activities(114)(102)Cash Flows from Financing Activities Repayment of debt(100)— Net transfers to 3M(31)(7,851) Proceeds from long-term debt, net of issuance costs—8,303 Other — net(8)10 Net cash (used in) provided by financing activities(139)462Effect of exchange rate changes on cash and cash equivalents1—Net increase (decrease) in cash and cash equivalents(223)802 Cash and cash equivalents at beginning of period762194 Less: Cash and cash equivalents within held for sale(5)— Cash and cash equivalents at end of period$ 534$ 996*Data in the schedule above is intentionally rounded to the nearest million and, therefore, may not sum. Solventum Corporation and Subsidiaries*BUSINESS SEGMENTS(Unaudited) The Company's operating activities are managed through four operating segments: MedSurg, Dental Solutions, Health Information Systems, and Purification and Filtration. MedSurg provides: advanced wound care products such as negative pressure wound therapy, advanced wound dressings and advanced skin care; and infection prevention and surgical solutions products, such as I.V. site management, sterilization assurance, temperature management, surgical supplies, medical tapes and wraps, stethoscopes, medical electrodes, and medical technologies Original Equipment Manufacturer ("OEM"). Dental Solutions provides dental and orthodontic products, including brackets, aligners, restorative cements, and bonding agents that span the "life of the tooth," including products designed for preventative dental care, direct and indirect restoration, and broad orthodontic needs. Health Information Systems provides healthcare systems with software solutions – including computer-assisted physician documentation, direct-to-bill and coding automation, classification methodologies, speech recognition, and data visualization platforms. Purification and Filtration includes filters and membranes for biopharmaceutical and medical technologies, microelectronics and food and beverage, as well as filtration for cleaner drinking water. BUSINESS SEGMENT INFORMATION AND DISAGGREGATED NET SALES Three months ended March 31, 2025Three months ended March 31, 2024(Dollars in millions)Net SalesOperating IncomeOperating Margin %Net SalesOperating IncomeOperating Margin % Advanced Wound Care$ 448$ 441 Infection Prevention and Surgical Solutions710678 MedSurg1,157$ 20617.8 %1,119$ 22119.7 % Dental Solutions3287823.933511032.8 Health Information Systems32910933.131710131.9 Purification and Filtration2423514.52453915.9 Total business segment operating income$ 428$ 471 Corporate and Unallocated: Amortization expense$ (81)$ (87) Other Corporate and Unallocated(195)(3) Total Corporate and Unallocated13(276)——(90)— Total Company$ 2,070$ 1527.3 %$ 2,016$ 38118.9 %*Data in the schedule above is intentionally rounded to the nearest million and, therefore, may not sum. Solventum CorporationSUPPLEMENTAL FINANCIAL INFORMATIONNON-GAAP MEASURES(Unaudited) In addition to reporting financial results in accordance with U.S. GAAP, the company use non-GAAP financial measures to supplement the financial measures prepared in accordance with U.S. GAAP. These include (1) adjusted operating income and adjusted operating income margin, (2) adjusted diluted earnings per share, and (3) free cash flow. Management believes that these non-GAAP financial measures are useful in evaluating current performance and focusing management on our underlying operational results. There are limitations to the use of the non-GAAP financial measures presented in this information statement. These non-GAAP financial measures are not prepared in accordance with U.S. GAAP nor do they have any standardized meaning under U.S. GAAP. In addition, other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way we calculate such measures. Accordingly, our non-GAAP financial measures may not be comparable to such similarly titled non-GAAP financial measures used by other companies. Management cautions you not to place undue reliance on these non-GAAP financial measures, but instead to consider them with the most directly comparable U.S. GAAP measure. These non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation. These non-GAAP financial measures should be considered supplements to, not substitutes for, or superior to, the corresponding financial measures calculated in accordance with U.S. GAAP. The tables below reconcile our non-GAAP financial measures to the nearest financial measure that is in accordance with U.S. GAAP for the periods presented. Adjusted Operating Income, Adjusted Operating Income Margin and Adjusted Earnings Per Share (Non-GAAP measures) Adjusted operating income and adjusted operating income margin are not defined under U.S. GAAP. Therefore, they should not be considered a substitute for earnings data prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures used by other companies. Solventum defines adjusted operating income as operating income excluding the effects of amortization, restructuring costs, Spin-Off and separation-related costs, certain litigation-related costs, and impacts related to the sale of the Purification and Filtration business. Adjusted operating income margin is adjusted operating income divided by the U.S GAAP measure total net sales for the same period. The company believes adjusted operating income and adjusted operating income margin provide investors with visibility into the company's unleveraged, pre-tax operating results and reflects underlying financial performance. However, adjusted operating income should not be construed as inferring that the company's future results will be unaffected by the items for which the measure adjusts. Adjusted diluted earnings per share is not defined under U.S. GAAP. Therefore, it should not be considered a substitute for earnings data prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures used by other companies. Solventum defines adjusted diluted earnings per share as net income excluding the after-tax effects of amortization, restructuring costs, Spin-Off and separation-related costs, certain litigation-related costs, and impacts related to the sale of the Purification and Filtration business and legal entity restructuring costs. The company believes adjusted earnings per share provides investors with improved comparability of underlying operating results and a further understanding and additional transparency regarding how the company evaluates the business. However, adjusted earnings per share should not be construed as inferring that the company's future results will be unaffected by the items for which the measure adjusts. Solventum Corporation SUPPLEMENTAL FINANCIAL INFORMATION NON-GAAP MEASURES – (CONTINUED)* (Unaudited)Three months ended March 31, 2025 (Dollars in millions, except per share amounts)Net salesCost of Sales5Gross Margin %Operating Expenses6Operating IncomeOperating Income Margin %Non-Operating Expense (Income), net7IncomeBefore Income TaxesNet Income Attributable to SolventumDiluted EPSEffectiveTax Rate GAAP$ 2,070$ 95653.8 %$ 962$ 1527.3 %$ 115$ 38$ 137$ 0.78(262.1) % Non-GAAP Adjustments: Amortization of acquisition-related intangible assets———(81)813.9—81680.39 Restructuring costs (a)—(10)0.5(8)180.9—18140.08 Spin-off and separation-related costs (b)—(27)1.3(94)1215.8—121930.53 Certain litigation-related costs (d)———(19)190.9—19140.08 Sale of Purification and Filtration-related (e)———(16)160.8—16(92)(0.53) Non-GAAP$ 2,070$ 91955.6 %$ 744$ 40719.7 %$ 115$ 293$ 234$ 1.3419.9 %Three months ended March 31, 2024 (Dollars in millions, except per share amounts)Net salesCost of Sales5Gross Margin %OperatingExpenses6Operating IncomeOperating Income Margin %Non-Operating Expense (Income), net7Income Before IncomeTaxesNet Income Attributable to SolventumDilutedEPSEffectiveTax Rate GAAP$ 2,016$ 84458.1 %$ 791$ 38118.9 %$ 52$ 329$ 237$ 1.3728.0 % Non-GAAP Adjustments: Amortization of acquisition-related intangible assets——(87)874.3—87730.42 Restructuring costs (a)—(1)0.1(8)90.5—960.04 Spin-off and separation-related costs (b)——(7)70.3(12)19160.09 Legal entity restructuring (c)————270.16 Non-GAAP$ 2,016$ 84358.2 %$ 689$ 48424.0 %$ 40$ 444$ 359$ 2.0819.1 % __________ *Data in the schedule above is intentionally rounded to the nearest million and, therefore, may not sum. (a) Severance, asset write-offs and related charges associated with certain restructuring programs. (b) Consists of costs specifically incurred in connection with the Company's separation from 3M. (c) Reflects the tax impacts for legal entity restructuring in connection with the separation from 3M. (d) Consists of charges and recoveries related to certain litigation matters. (e) Costs related to and tax impacts from the sale of the Company's Purification and Filtration business.5 Cost of sales is the combination of cost of product and cost of software and rentals line items from the Consolidated Statements of Income and represents the total company cost of sales. 6 Operating expenses is the combination of selling, general and administrative expenses and research and development expenses from the Consolidated Statements of Income and represents the total company other operating expenses. 7 Non-operating expense (income), net is the combination of interest expense, net and other expense (income), net line items from the Consolidated Statements of Income and represents the total company non-operating expense. Solventum CorporationSUPPLEMENTAL FINANCIAL INFORMATIONNON-GAAP MEASURES – (CONTINUED)*(Unaudited) Free Cash Flow (non-GAAP measure): Free cash flow is not defined under U.S. GAAP. Therefore, it should not be considered a substitute for income or cash flow data prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures used by other companies. The company defines free cash flow as net cash provided by operating activities less purchases of property, plant and equipment. It should not be inferred that the entire free cash flow amount is available for discretionary expenditures. The company believes free cash flow is meaningful to investors as it is a useful measure of liquidity and the company uses these measures as an indication of the strength of the company and its ability to generate cash. Free cash flow varies across quarters throughout the year. Below find a recap of free cash flow. (Dollars in millions)Three months ended March 31, Major GAAP Cash Flow Categories20252024 Net cash provided by operating activities$ 29$ 442 Net cash (used in) investing activities(114)(102) Net cash (used in) provided by financing activities(139)462Free Cash Flow (non-GAAP measure) Net cash provided by operating activities$ 29$ 442 Purchases of property, plant and equipment(109)(102) Free cash flow(80)340 View original content to download multimedia: SOURCE Solventum Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
09-05-2025
- Business
- Reuters
Solventum beats first-quarter profit estimates on strong surgical product sales
May 8 (Reuters) - 3M spin-off Solventum (SOLV.N), opens new tab beat analysts' estimate for first-quarter profit on Thursday, helped by higher sales of its wound care, sterilization products. The Minnesota-based company is one of the largest providers of sterilization devices, wound dressings, medical tape and other hospital consumables used by healthcare facilities. Solventum also raised its annual organic sales growth forecast up 1.5% to 2.5% from prior forecast of up 1.0% to 2.0%. The forecast includes its purification and filtration segment, the company said. The company's MedSurg business, which provides wound dressings and surgical equipment, makes more than half of its total revenue. Sales in this segment were $1.16 billion during the quarter. The company continues to expect annual profit per share in the range of $5.45 to $5.65. It reported total net sales of $2.1 billion for the quarter, a 2.6% rise from a year earlier. Solventum posted an adjusted profit of $1.34 per share for the quarter ended March 31, compared with analysts' average estimate of $1.22 per share, according to data compiled by LSEG.
Yahoo
23-04-2025
- Business
- Yahoo
BSX Q1 Earnings & Revenues Beat, Stock Up, 2025 View Raised
Boston Scientific Corporation BSX posted first-quarter 2025 adjusted earnings per share (EPS) of 75 cents, up 33.9% from the year-ago figure. The figure beat the Zacks Consensus Estimate by 11.9% and also exceeded the company's adjusted earnings per share guidance range of 66-68 cents per share. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar). The quarter's adjustments included certain amortization expenses, acquisition/divestitures-related net charges, and restructuring and restructuring-related charges, among others. Reported EPS for the first quarter was 45 cents, reflecting a 36.4% increase from the year-ago quarter figure. Revenues in the first quarter totaled $4.66 billion, up 20.9% year over year on a reported basis and 22.2% on an operational basis (at a constant exchange rate or CER). Organic growth, adjusted for foreign currency fluctuations and certain recent acquisitions and divestments, was 18.2%. The top line surpassed the Zacks Consensus Estimate by 2.3% and exceeded the company's forecast of 17%-19%. Following the earnings announcement, shares of BSX climbed 6% in pre-market trading today. In the first quarter, revenues rose 31.1% in the United States on a reported basis (same operationally). Reported revenues rose 5.5% in the Europe, Middle East and Africa (EMEA) region (up 7.9% operationally) and 8.2% in the Asia Pacific zone (up 10.6% operationally). Boston Scientific Corporation price-consensus-eps-surprise-chart | Boston Scientific Corporation Quote Reported revenues increased 4.4% in Latin America and Canada (up 14.1% operationally). Reported revenue growth in emerging markets was 6.5% (up 9.8% operationally). Boston Scientific recently reorganized its operational structure and aggregated its core businesses into two reportable segments — MedSurg and Cardiovascular. Both of these generate revenues from the sale of Medical Devices. MedSurg revenues in the first quarter were $1.58 billion, up 11.7% year over year on a reported basis (5.3% organically). Within this, the Endoscopy unit generated revenues of $673 million, up 5.5% organically. Urology revenues were $633 million, reflecting organic growth of 4.4%. The Neuromodulation business reported $271 million in revenues, highlighting a 6.8% rise organically year over year. The company generates maximum revenues from this segment. Revenues in the first quarter came up to be $3.09 billion, up 26.2% (reported) and 25.6% (organic) year over year. Within this, Cardiology business sales totaled $2.43 billion (up 31.2% year over year organically) in the first quarter. The Peripheral Interventions unit generated $656 million in sales, up 7.4%. The gross margin in the first quarter expanded 19 basis points (bps) year over year to 68.8%. There was a 20.2% rise in the cost of products sold to $1.45 billion in the reported quarter. Selling, general and administrative expenses rose 17.1% to $1.60 billion. Research and development expenses rose 21% to $443 million. Royalty expenses of $14 million, however, increased 40% year over year. The adjusted operating margin expanded 127 bps to 24.8% in the reported quarter. For 2025, Boston Scientific anticipates net sales to grow approximately 15-17% on a reported basis (earlier 12.5-14.5%) and nearly 12-14% on an organic basis (earlier 10-12%). The Zacks Consensus Estimate is currently pegged at $19.13 billion, indicating a 14.2% rise from the 2023 reported figure. Full-year adjusted EPS is expected in the range of $2.87-$2.94 (previously $2.80-$2.87). The Zacks Consensus Estimate for the same is currently pegged at $2.85. For the second quarter of 2025, revenue growth is projected in the range of approximately 17.5-19.5% on a reported basis (up 13-15% organically). Adjusted earnings are expected in the range of 71-73 cents per share. The Zacks Consensus Estimate for second-quarter earnings and revenues is pegged at 71 cents per share and $4.78 billion, respectively. Boston Scientific ended the first quarter of 2025 on a solid note, with both revenues and earnings beating the respective estimates. The performance reflected the strength of the company's product portfolio and the effectiveness of its highly engaged global team. Expansion of both margins in the quarter is impressive. Additionally, the raised sales and EPS guidance for the full year instils optimism. Among some notable developments, in March 2025, Boston Scientific announced an agreement to acquire SoniVie Ltd., the developer of the TIVUS Intravascular Ultrasound System. Earlier this month, the company completed the previously announced acquisition of Bolt Medical, Inc., the developer of an intravascular lithotripsy advanced laser-based platform for the treatment of coronary and peripheral artery disease. All these bode well for the stock. Boston Scientific currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks from the broader medical space are AngioDynamics ANGO, Veeva Systems VEEV and Masimo MASI. AngioDynamics, currently sporting a Zacks Rank #1 (Strong Buy), reported third-quarter fiscal 2025 adjusted EPS of 3 cents against the Zacks Consensus Estimate of a 13-cent loss. Revenues of $72 million beat the Zacks Consensus Estimate by 2%. You can see the complete list of today's Zacks #1 Rank stocks here. ANGO has an estimated fiscal 2026 earnings growth rate of 27.8% compared with the S&P 500 composite's 10.5% growth. The company surpassed earnings estimates in each of the trailing four quarters, with the average surprise being 70.9%. Veeva Systems, sporting a Zacks Rank #1 at present, posted fourth-quarter fiscal 2025 adjusted EPS of $1.75, exceeding the Zacks Consensus Estimate by 10.1%. Revenues of $720.9 million surpassed the Zacks Consensus Estimate by 3.2%. VEEV has an estimated long-term earnings growth rate of 26.6% compared with the industry's 20.8% growth. The company's earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 7.9%. Masimo, currently sporting a Zacks Rank #1, reported a fourth-quarter 2024 adjusted EPS of $1.80, which surpassed the Zacks Consensus Estimate by 20.8%. Revenues of $600.7 million topped the Zacks Consensus Estimate by 0.8%. MASI has an estimated earnings yield of 3.5% for fiscal 2025 compared with the industry's 3.6% yield. The company's earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 14.4%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Boston Scientific Corporation (BSX) : Free Stock Analysis Report AngioDynamics, Inc. (ANGO) : Free Stock Analysis Report Masimo Corporation (MASI) : Free Stock Analysis Report Veeva Systems Inc. (VEEV) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Reuters
27-02-2025
- Business
- Reuters
Solventum forecasts annual profit above estimates on strong surgical product sales
Feb 27 (Reuters) - 3M spin-off Solventum (SOLV.N), opens new tab forecast annual profit above analyst estimates on Thursday, betting on strong sales of its wound care and surgical sterilization products. Minnesota-based Solventum is one of the largest providers of sterilization devices, wound dressings, medical tape and other hospital consumables used by healthcare facilities. More than half of its revenue comes from its MedSurg business, which provides wound dressings and surgical equipment. Sales in the segment were $1.17 billion during the quarter. The company's performance has come under scrutiny from activist investor Nelson Peltz. Peltz's Trian Fund Management said in a letter to shareholders in January the company should simplify its segments to improve execution at its core medical surgery business. Trian, which owns around 5% of Solventum's shares and is the largest active shareholder, also said divestitures could accelerate the company's ability to reduce debt. Contract drug manufacturer Thermo Fisher Scientific (TMO.N), opens new tab said earlier this week it will buy Solventum's purification and filtration business for about $4.1 billion. Peltz's hedge fund plans to push Solventum towards further business separations, the Wall Street Journal reported on Wednesday. The company forecast 2025 adjusted profit to be in the range of $5.45 to $5.65 per share, the midpoint of which is above analysts' average estimate of $5.49 as per data compiled by LSEG. The forecast includes its purification and filtration segment, the company said. Solventum reported total sales for the quarter ended December 31 of $2.07 billion, a 1.9% rise from a year earlier. Solventum's organic sales growth was primarily driven by the MedSurg and dental solutions segments, it said. The company's net income fell to $30 million, or 17 cents per share, in the quarter, from $272 million, or $1.57 per share, a year earlier.
