With Abbott deal near completion, St. Jude Medical’s sales increase 11%
Led by strong sales growth in its atrial fibrillation and heart failure divisions, St. Jude Medical’s second quarter sales increased 11 percent to $1.56 billion compared with the same period last year. The quarter ended July 2.
Sales in the atrial fibrillation division increased 13 percent to $324 million, which the company attributed to sales of its TactiCath and FlexAbility ablation catheters.
Meanwhile, sales in the heart failure division increased 48 percent to $384 million, which the company said was mainly due to its October 2015 acquisition of Thoratec. Thoratec manufactures the HeartMate ventricular assist devices. The heart failure division also includes cardiac resynchronization therapy products and the CardioMEMS heart failure system, which the FDA approved in May 2014.
In addition, sales in the neuromodulation division increased 19 percent to $140 million, sales in the cardiovascular division increased 1 percent to $319 million and sales in the cardiac rhythm management division decreased 8 percent to $395 million. St. Jude Medical said that sales of cardiac rhythm management devices decreased in the U.S., as well.
The quarterly earnings release occurred three months after Abbott agreed to acquire St. Jude Medical for approximately $25 billion. The boards of directors of both companies have approved the deal, which is subject to customary closing conditions. The companies hope the deal will be done by the end of this year.
“One of the major highlights of our quarter was the announcement of our pending merger with Abbott,” St. Jude Medical president and CEO Michael T. Rousseau said in a news release. “We continue to be confident and excited about the potential of our combined organization and the powerful impact we can have on delivering industry leading innovation to physicians and patients around the world.”
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.