**Boston Scientific Projects Strong Annual Profit Amid Steady Demand for Heart Devices**
Boston Scientific, a prominent medical device manufacturer, announced on February 5 that it anticipates annual profits exceeding Wall Street expectations, driven by consistent demand for its heart devices. The medical device sector has seen a surge in demand for elective surgical procedures in the United States, particularly among the aging population. Boston Scientific, which primarily earns revenue from heart devices like pacemakers and stents, also offers equipment for diagnosing and treating various gastrointestinal and pulmonary conditions.
The company forecasts its adjusted earnings for 2025 to be between $2.80 and $2.87 per share, surpassing the analysts’ average estimate of $2.81 at the midpoint, according to data from LSEG. Additionally, Boston Scientific expects full-year revenue growth of 12.5% to 14.5% compared to the previous year. Key growth drivers for the company include its stroke prevention device, Watchman, and Farapulse, which employs short high-voltage pulses to address certain abnormal heart rhythm conditions.
RBC Capital analyst Shagun Singh noted that the initial guidance for 2025 is “strong out of the gates,” suggesting potential for the company to exceed expectations throughout the year, with Farapulse as a significant contributor. Singh also remarked that the results and outlook indicate a positive trend for the broader sector.
In the fourth quarter, Boston Scientific reported a revenue increase of 22.4%, reaching $4.56 billion, which surpassed the anticipated $4.43 billion. The cardiovascular unit’s sales rose nearly 29% to $2.94 billion for the three months ending December 31, exceeding estimates of $2.83 billion. Meanwhile, the endoscopy unit, which includes devices for weight-loss surgical procedures, saw a 7% increase in quarterly revenue to $690 million, slightly below the expected $695.9 million. The company achieved adjusted earnings of 70 cents per share in the fourth quarter, exceeding the forecast of 66 cents.
