Medical Devices Provider Boston Scientific Cardiovascular Segment Sees Traction In Q3, Company Adjusts Annual Outlook

Boston Scientific Corp BSX generated Q3 revenues of $3.53 billion, beating the Wall Street estimate of $3.48 billion.

The sales increased 11.2% on a reported basis, 11.1% on an operational basis, and 10.2% on an organic basis, beating the management of approximately 8.5% - 10.5% (7% - 9% organic).

The company earned an adjusted EPS of $0.50, beating the consensus of $0.48 and management estimate of $0.46 - $0.48.

Revenues from MedSurg increased 10.6% to $1.34 billion (9.4% organic), and the Cardiovascular segment generated $2.19 billion, +11.6% (10.6% organic).

The adjusted gross margin was 70.17%, down from 70.66%, and the adjusted operating margin expanded from 25.55% to 26.06%.

Outlook: Boston Scientific revises FY23 revenue growth guidance to 11% (on the reported basis and organic basis) versus prior guidance of 10.5%-11.5% and 10%-11%, respectively.

The company forecasts adjusted EPS of $1.99 - $2.02 versus the consensus of $2.00 and the prior guidance of $1.96 - $2.00.

For Q4, the company expects revenue growth of 9%-11% (reported) and 8%-10% (organic), with adjusted EPS of $0.49-$0.52 and consensus of $0.52.

Price Action: BSX shares are up 0.35% at $50.17 on the last check Thursday.