St. Jude Medical’s revenue, earnings increase in first quarter
For the first quarter of fiscal year 2016, St. Jude Medical’s net sales increased 8 percent to $1.448 billion and its adjusted earnings increased 9 percent to $0.90 per share from the first quarter of last year.
Sales in atrial fibrillation increased 5 percent to $291 million, driven by the adoption of its FlexAbility and TactiCath ablation catheters. In the heart failure division, sales increased 49 percent to $374 million, led by increased adoption of the Heartmate II left ventricular assist system in the U.S. and the Heartmate 3 left ventricular assist system in Europe.
In October, St. Jude Medical acquired Thoratec for $3.3 billion. Thoratec manufactures the Heartmate II and 3 systems.
Sales in the neuromodulation division increased 8 percent to $116 million, while sales in the cardiovascular division were flat at $301 million.
Sales in the traditional cardiac rhythm management division declined 10 percent. The division includes implantable cardioverter defibrillators and pacemakers.
For the first quarter, net earnings were $95 million, or $0.33 per share, and adjusted net earnings were $259 million, or $0.90 per share.
St. Jude Medical said it expects revenue growth of 1-3 percent in the second quarter and 2-4 percent for the full year compared with the same time periods in 2015. The company also expects consolidated adjusted net earnings of $1.05 to $1.07 per share in the second quarter and $4.01 to $4.11 per share for the full year.
Executive Editor
Tim Casey joined TriMed Media Group in 2015 as Executive Editor. For the previous four years, he worked as an editor and writer for HMP Communications, primarily focused on covering managed care issues and reporting from medical and health care conferences. He was also a staff reporter at the Sacramento Bee for more than four years covering professional, college and high school sports. He earned his undergraduate degree in psychology from the University of Notre Dame and his MBA degree from Georgetown University.