Stryker
(NYSE: SYK)
is continuing a strong 2024 amid the continued success of its Mako robots, new joint replacement technology and more.
Kalamazoo, Michigan–based Stryker — the world’s largest ortho device company — earned $788 million, or $2.05 per share, off of $5.2 billion in sales for the quarter that ended March 31, 2024. The results represented a 33% boost to the bottom line and a 9.7% boost to the top line compared with Q1 2023.
Adjusted to exclude one-time items, Stryker saw earnings per share of $2.50 during the first quarter. The adjusted EPS was 15¢ ahead of the Wall Street analyst consensus of EPS of $2.50 and revenue of $5.1 billion.
“Our momentum from 2023 continued into the first quarter as we delivered 10% organic sales growth,” Stryker CEO Kevin A. Lobo said in a news release that was out yesterday evening. “Our teams are executing well, and I am confident in our ability to grow sales at the high end of MedTech and drive strong adjusted earnings growth in 2024.”
Investors reacted by sending SYK shares down slightly to $334 apiece in premarket trading today.
Mike Matson, senior research analyst at Needham & Co., noted the organic sales growth of 10% in Q1 was down a bit from the 11.4% growth seen in Q4 2023, but he also pointed out that it was a difficult comp. “Management was bullish about SYK’s ability to sustain above-market growth, and reiterated its 200 bps operating margin improvement target for 2024–2025.”
Stryker is upping its 2024 full-year guidance. The company now expects organic net sales growth of 8.5–9.5% and adjusted EPS of $11.85–12.05.
