Boston Scientific Releases Q12021 Earnings Numbers
Boston Scientific announced its first-quarter 2021 earnings results on 28th April 2021. Net sales went up from $2.5 billion in Q12020 to $2.7 billion, a rise of 8.2% year on year. The best performing segments were measured with a year-on-year growth of 11% and cardiovascular with a year-on-year growth of 10%. Geographically, the Asia-Pacific sales rose 15.6% year on year while US sales were up 8.6%. The EMEA region also reported a sales growth of 9.4% year on year. Specialty pharmaceuticals had the worst performance, with a drop in sales of 67.5%.
Company CEO Michael Mahoney felt quite confident about the future outlook. He said that the company was emerging well from the headwinds created by the COVID pandemic. The company’s category leadership position, enhanced digital capabilities, innovative pipeline, expansion into high growth markets, and commercial execution placed the company favorably for future growth. Boston Scientific is a large medical device company with a long track record. It could qualify as one potential option for investors looking to buy healthcare stocks for long term.
Boston Scientific’s Financials
Boston Scientific had grown its revenue from $8.3 billion in 2016 to about $10 billion in 2020. Interestingly, the gross margins were as high as 70% and stayed at that level till 2019. They dropped to 64% in 2020 as the pandemic may have had a negative effect on the company’s business. If you are looking to buy medical stocks 2021, then companies with stable margins and rising earnings are worth considering. In the case of Boston Scientific, the earnings per share rose from $0.29 in 2011 to $3.33 in 2019. The company reported a loss of $0.08 per share in 2020.
Buy Healthcare Stocks For Long Term
There are plenty of areas within healthcare where one can invest. One could opt for investing in hospitals, health insurance companies, medical device companies, nursing and service companies, or healthcare REITs. Medical device companies may seem attractive because they could benefit from the opening up. Many patients who put off non-emergency surgical procedures may come back, and that could boost demand for medical devices.
