Covidien (NYSE:COV) said it launched 4 new research & development centers across the globe in hopes of releasing more than 50 new products over the next 2 years.
The new R&D facilities are located in Boulder, Colo.; Hyderabad, India; Irvine, Calif.; and Trevoux, France.
"To remain a market leader, we must broaden our innovation focus and create a competitive edge by continuing to expand our business globally," president & CEO José Almeida said in prepared remarks.
The Mansfield, Mass.-based med-tech titan invested more than $40 million in the new centers, which add 50 new labs for new product development, according to a press release. Covidien now has 24 R&D centers worldwide.
"In the last 5 years, the company has more than doubled its R&D investments and introduced more than 100 new products," chief technology officer for surgical solutions Paul Hermes said in prepared remarks. "By expanding our R&D infrastructure and capabilities, we will be able to enhance our collaborative efforts, improve the product development time to market and create valued innovation. This will allow us to accelerate our new product launches and bring clinically relevant and economically valuable innovation to the global marketplace."
The device maker recently posted a strong 1st quarter with record adjusted gross margins of 58.8% for the 3 months ended Dec. 24, 2011. Covidien also upped its 2012 fiscal guidance, forecasting 3% to 5% sales growth. Its previous guidance was about a point lower.
The company saw a modest bump on Wall Street today, trading 5 cents higher to $51.54 around noon today, after announcing the release of its Halo60 device, acquired along with Barrx Medical last year.