Financial performance of Boston Scientific

Main article: Boston Scientific

2019: Growth of revenue by 9.3% to $10.74 billion; profit — $4.7 billion

2019 Boston Scientific completed with revenue in the amount of $10.74 billion that is 9.3% more, than the previous year. Sales of the medical equipment during this time increased by 8.5% and made $10.65 billion. The rest of income (about $81 million) was provided by special pharmaceutical medicines.

The greatest share of turnover of the company is generated by solutions for treatment of cardiovascular diseases: the vendor in 2019 earned $4.21 billion against $3.78 billion from them in the 2018th.

Financial performance of Boston Scientific

Revenue of Boston Scientific in the field of surgical solutions at the end of 2019 made $3.31 billion, having increased by 10% in comparison with previous year. Sale of endoscopic tools increased by 7.5%, to $1.89 billion. Solutions in the field of urology and pelvic pains added to the producer annual revenues in the amount of $1.41 billion (growth by 13.1% relatively 2018).

In division of Rhythm and Neuro in 2019 revenue made $3.14 billion, having increased by 3.3% concerning the 2018th. Here most of all companies bring products for monitoring of violations of a rhythm of heart beat and conductivity, heart failure which provided Boston Scientific an annual income in the amount of $1.94 billion.

The USA remains the largest sales market for Boston Scientific. There revenue at the end of 2019 reached $6.1 billion that for 10.1% exceeds an indicator of year prescription. In the countries the EMEA company increased earnings by 4%, to $2.26 billion. In the Pacific Rim revenues of the producer of the medical equipment increased by 9.9% (to $1.9 billion), in Latin America and Canada — for 3.3% (to $395 million).

In 2019 the net profit of Boston Scientific exceeded $4.7 billion that it is significantly more, than the previous year ($1.67 billion). However this rise happened by a large tax subsidy which the company received in the USA.^[1]

2018: Growth of revenue by 8.6% to $9.82 billion; profit — $1.67 billion

2018  Boston Scientific completed with revenue in the amount of $9.82 billion against $9.05 billion the previous year. Technologies for treatment of cardiovascular diseases from which the company earned $3.78 billion while in 2017 the indicator was measured by $3.5 billion remain the largest business.

Financial performance of oston Scientific

In a cardiovascular segment the lion share of income fell on intervention cardiology — $2.59 billion at the end of 2018 against $2.42 billion in the 2017th. The second place on sales is taken by tools for intervention on peripheral vessels where annual revenues raised from $1.08 billion to $1.19 billion.

The division of Rhythm and Neuro received in 2018 turnover at the level of $3.04 billion while the previous year it made $2.81 billion. In this segment TEConts of violations of a rhythm of heart beat and conductivity, heart failure, etc. dominate (Cardiac Rhythm Management direction) which brought  to Boston Scientific an annual income in the amount of $1.95 billion. In 2017 there were $1.89 billion. In the direction of electrophysiology revenue in $311 million, in neuromodulation — $779 million is recorded; in 2017 income equaled $278 million and $635 million respectively. And the category functional neurosurgeries showed the greatest growth rates — for 22.7%.

Sales of Boston Scientific in the field of surgical products in 2018 exceeded $3 billion a little, having increased with $2.74 billion the previous year. Sale of endoscopic  tools increased by 8.8% and reached $1.76 billion. Solutions in the field of urology and pelvic pains provided the producer with annual revenues in the amount of $1.25 billion that is 10.8% more than value of year prescription.

In 2018 the net profit of Boston Scientific reached $1.67 billion whereas in the 2017th profit was at the level of $104 million^[2]

2017: Growth of revenue by 8% to $9 billion, profit was reduced to $104 million

2017 Boston Scientific completed with revenue in the amount of more than $9 billion that is 8% more than an indicator of year prescription.

The net profit of the company was reduced more than three times — from 347 to 104 million dollars. Recession happened because the American producer of the medical equipment had to pay one-time $842 million in connection with tax reform in the USA.

Products for treatment of cardiovascular diseases which sales in 2017 reached $3.5 billion against $3.3 billion in the 2016th remain the most profitable direction for Boston Scientific. In this segment the intervention cardiology from which the vendor earned more than $2.4 billion is in the lead.

The profit of Boston Scientific fell three times

In the direction of Rhythm Management (TEConts of violations of a rhythm of heart beat and conductivity, heart failure, etc.) the annual turnover at the level of $2.17 billion is recorded that it is a little more, than the previous year ($2.09 billion).

Solutions in the field of urology and treatment of pelvic pain showed sales growth from 1 to 1.12 billion dollars. Urological business of the producer grew as a result of purchase of the corresponding company assets of Distal Access.

Revenue of Boston Scientific from sales of endoscopic  tools reached $1.6 billion in 2017 against $1.44 billion according to the results of previous year. Neurostimulators generated the companies $635 million annual revenues, and all surgical direction showed growth to $3.4 billion from $3.1 billion in 2016.

Implementation of defibrillators at Boston Scientific exceeded $1.3 billion, and the company earned about $590 million from pacemakers.

In day when Boston Scientific published the financial statement for 2017, stocks of the company 1.7% fell in price though a month before it they rose in price for 13%.

Most likely, investors negatively reacted to plans of Boston Scientific to spend money for acquisition of three-four companies within 18 months.^[3]

2016: Growth of revenue thanks to urological business

On February 2, 2017 the Boston Scientific company published financial statements for 2016. The company got rid of losses and increased revenue for 12%, and urological business contributed significantly to this rise.

In 2016 Boston Scientific gained $8.4 billion against $7.5 billion the previous year. Net profit was $347 million whereas in 2015 net losses in the amount of $239 million took place. Operating profit of the company reached $447 million against $327 million operating losses the previous year.

Building of one of offices Boston Scientific

The most part of income of Boston Scientific is still brought by solutions for treatment of cardiovascular diseases which sales in 2016 increased by 12% in 2016 concerning the 2015th — to $3.3 billion. In particular, the intervention cardiology brought to the company $2.3 billion income that is also 12% more than an indicator of year prescription.

The division of Rhythm Management (develops TEConts of violations of a rhythm of heart beat and conductivity, heart failure, etc.) finished 2016 with turnover in the amount of $2.1 billion — it for 3% exceeds result of 2015.

Solutions in the field of urology and treatment of pelvic pain which belong to the Rhythm Management group showed the greatest sales growth — for 45% to $1 billion. These products provided a third of growth of all revenue of Boston Scientific. Urological business of the producer grew as a result of purchase of the corresponding company assets of Distal Access in November, 2016. The cost of that transaction did not reveal.

At the end of 2017 Boston Scientific predicts revenue at the level from $8.68 billion that is 3% more than value of year prescription. The forecast for the corrected net profit — $1.22-1.26 for an action. In 2016 this profit was measured by $1.11.

In day of the publication of the annual financial report and forecast of a stock of Boston Scientific went up in price almost for 5%.^[4]

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