Boston Scientific reports weaker results, sets job cuts
Boston Scientific Corp reported weaker quarterly earnings on Tuesday as sales slipped and expenses rose, and the medical device maker announced more job cuts.
The company said it expected to eliminate 900 to 1,000 jobs worldwide through 2013, bringing the total headcount reduction to 2,100 to 2,400 positions from 2011 to 2013.
Boston Scientific employs 24,000 workers worldwide, according to its website.
Fourth-quarter net earnings fell to $60 million, or 4 cents per share, from $107 million, or 7 cents per share, a year earlier, the company said.
Excluding special items, earnings were 11 cents per share, matching the average estimate on Wall Street, according to Thomson Reuters I/B/E/S.
Revenue dipped to $1.82 billion from $1.85 billion as sales slipped in the interventional cardiology business, which sells heart stents, and in the cardiac rhythm management business, which sells pacemakers and implantable heart defibrillators. Those two businesses make up more than half of Boston Scientific's total revenue.
Sales rose in the company's other smaller businesses, including urology and women's heath, endoscopy and neuromodulation.
The company forecast first-quarter earnings of 4 cents to 7 per share. It expects adjusted earnings, excluding charges for restructuring, acquisitions and amortization, to be 14 cents to 17 cents per share, with sales of $1.74 billion to $1.82 billion.
For the full year, Boston Scientific estimated earnings at 29 cents to 37 cents per share. It said it expected adjusted earnings of between 64 cents and 70 cents per share on sales of $7.05 billion to $7.35 billion.
(Reporting by Debra Sherman; Editing by Gerald E. McCormick and Lisa Von Ahn)