Medical device maker Boston Scientific Corp. announced upbeat quarterly results Thursday and an optimistic outlook for 2017.
The maker of medical devices that repair diseased blood vessels and keep the heart beating regularly reported 11 percent revenue growth in the quarter ended Dec. 31, including growth in each of its three divisions. Boston Scientific is based in Massachusetts, but employs thousands in Maple Grove, Arden Hills and elsewhere.
Adjusted net profit rose more than 14 percent in the fourth quarter. Adjusted earnings per share of 30 cents beat analysts' estimates by a penny. All told, Boston Scientific had adjusted net profit of $415 million on revenue of $2.19 billion in the three months.
"We believe we are poised for a strong 2017, and we're very well positioned to continue and strengthen our performance track record in 2018 and beyond," Chief Executive Michael Mahoney said during an earnings call Thursday.
Sales of cardiovascular devices, which make up the largest division, rose 11 percent in the quarter to $840 million.
The growth was led by strong sales of drug-eluting stents, including quick adoption of the new premium-priced Synergy stent, which was designed in Minnesota. That division also sells the fast-growing Watchman atrial-appendage closure device, a stroke-prevention device invented in the state that is now available at more than 200 hospitals.
Sales of pacemakers and defibrillators, which are managed from Arden Hills, rose 7 percent in the quarter to $473 million. Sales of the MRI-approved Accolade pacemaker were strong in the quarter, propelling pacemaker sales overall to 22 percent growth, Mahoney said.
He added the company expects to grow pacemaker sales in 2017 despite this week's approval of a competing MRI-safe device made by St. Jude Medical, now part of Abbott Laboratories. Boston Scientific expects to get approval of other MRI-safe devices by year's end.
Medical-surgical products revenue grew 13 percent in the quarter, to $815 million. That included 5 percent growth in sales of male urology products bought from American Medical Systems in mid-2015. Mahoney said Boston Scientific found $35 million in "synergies" after a $1.6 billion acquisition of AMS' male urology products. The deal is on track to hit an adjusted profitability target of 7 cents per share this year.
For 2017, Boston Scientific had full-year revenue guidance of at least $8.68 billion that would represent more than 3 percent growth compared to the $8.37 billion revenue it reported for 2016.
For adjusted net earnings, the company announced 2017 full-year guidance of $1.22 to $1.26 per share. In 2016, Boston Scientific reported adjusted net earnings of $1.11 per share.
Boston Scientific stock rose 4.76 percent on Thursday, closing at $25.10.