Zimmer Biomet (NYSE:ZBH) shares took a hit today despite first-quarter results that topped the consensus forecast.
The Warsaw, Ind.-based company posted profits of $198.1 million, or 94¢ per share, on sales of more than $1.8 billion for the three months ended March 31, 2021 — a massive bottom-line gain compared with losses of more than $508 million amid the COVID-19 pandemic a year ago. Q1 sales grew by 3.6% compared with last year.
Adjusted to exclude one-time items, earnings per share were $1.71, 18¢ ahead of Wall Street, where analysts were looking for sales of $1.8 billion.
“Our performance was stronger than we anticipated in the first quarter, as we saw signs of the pandemic beginning to subside across many regions toward the end of the quarter driven by acceleration of vaccine rollout. As we move into the second quarter, we expect that momentum to continue and believe we are well-positioned to meet the needs of our customers as elective procedures return,” Zimmer Biomet president & CEO Bryan Hanson said in a news release. “Despite the challenges of COVID-19, the transformation of our business has continued over the past year. We are proud of the milestones Zimmer Biomet has already accomplished in 2021 and we have confidence that we can drive significant value for our key stakeholders as we move our mission forward.”
Zimmer Biomet said it expects to log adjusted EPS of between $7.60 and $8 and set its sales guidance for growth between 14% and 17%.
ZBH shares were down -1.6% at $175.06 per share in early-morning trading today.