Stryker 1Q Net Income Falls 3.2%

Stryker announced a first-quarter income drop of 3.2 percent amid a slow economy and decreased growth in the orthopedic device market, according to a report by the Wall Street Journal.

Advertisement

The company posted a net income of $281.1 million, compared to $290.5 million in first-quarter 2008. 

The company’s shares dropped 2.5 percent to $36.50 in after hours trading, after the quarterly earnings were announced.

Reduced hospital spending across the country impacted Stryker’s sales of medical and surgical equipment; MedSurg, the company’s medical product unit, experienced a 27 percent decline in U.S. sales.

Stryker saw some growth in its replacement joint business; the sales of the company’s hip and knee replacements grew by 6 percent. Stryker’s growth in this market mirrors expected growth for the replacement-joint market overall, which is slightly slower than previous years, according to the report.

As a result, Stryker cut its expected full-year sales and earnings.

Read the Wall Street Journal’s report on Stryker 1Q earnings.

Advertisement

Next Up in Uncategorized

Advertisement

Comments are closed.