The medical device sector was on the rebound in 2010 after a less-than-stellar 2009 performance, according to the latest report from industry lobby AdvaMed.
Revenues for publicly traded companies grew to $205 billion in 2010, a 4 percent increase from the $197 billion reported in 2009, which was a 0.1 percent slide from the prior year.
Net income spiked a whopping 57 percent to $12.4 billion, compared to 2009’s $7.9 billion, largely thanks to relief from merger and impairment charges incurred in 2009, according to the report.
The total number of firms came in at around 7,000; 62 percent of them have fewer than 20 employees. Only 2 percent employ more than 500 people.
The average salary for a U.S. med-tech worker was a reported at $58,000, adding up to about $24.6 billion in payroll.
As an industry, medical device firms spent $9.8 billion on research and development, an 8 percent increase from 2009’s $9.1 billion.
The nation’s hubs reported their own gains, as well as some losses in 2010. Here are the figures for the top five med-tech hubs in the U.S.:
Massachusetts:
- Home to 38 companies (-3 percent since 2009)
- $84 billion in market capitalization (+6 percent)
- $40 billion in revenue (+2 percent)
- $2.5 billion in R&D spending (+2 percent)
- $1.2 billion in net income (-201 percent)
Minnesota
- Home to 19 companies (-10 percent since 2009)
- $59.5 billion in market capitalization (-10 percent)
- $22 billion in revenue (+8 percent)
- $2.3 billion in R&D spending (+10 percent)
- $4 billion in net income (+33 percent)
Southern California
- Home to 37 companies (+3 percent since 2009)
- $53 billion in market capitalization (+33 percent)
- $17 billion in revenue (+12 percent)
- $1.6 billion in R&D spending (+12 percent)
- $1.2 billion in net income (-7 percent)
Northern California
- Home to 33 companies (+6 percent since 2009)
- $32 billion in market capitalization (+12 percent)
- $8.5 billion in revenue (+13 percent)
- $1 billion in R&D spending (+10 percent)
- $0.8 billion in net income (+78 percent)
New Jersey
- Home to 16 companies (same as 2009)
- $29.6 billion in market capitalization (+6 percent)
- $11 billion in revenue (+4 percent)
- $0.7 billion in R&D spending (+6 percent)
- $2 billion in net income (+9 percent)