April 30 (Reuters) – U.S. medical device maker Stryker on Thursday maintained its full-year profit outlook but missed Wall Street estimates for first-quarter profit and revenue, weighed down by softer demand for implants and devices used in complex procedures ranging from spinal to orthopedic surgeries.
The company, which makes joint replacements and medical implants to repair broken bones, reiterated its expectations for adjusted annual profit in the range of $14.90 to $15.10 per share.
Shares of the company were down 1.8% in extended trading.
An Iranian-linked hacking group known as Handala in March claimed responsibility for a destructive cyberattack on Stryker, which caused disruptions to the medical device maker’s operations, limiting access to the company’s systems and reportedly delayed some surgeries.
Company staff and contractors had claimed on social media that the logo of the hacking group appeared on their login pages, but Reuters was not able to verify the posts.
Stryker primarily competes with Zimmer Biomet and Johnson & Johnson in the orthopedics market, where all three compete for market share across segments such as hip and knee replacements, trauma, and sports medicine.
Sales at Stryker’s biggest segment, medical surgery and neurotechnology, rose 5% to $3.21 billion in the quarter, but missed analysts’ estimates of $3.83 billion.
The orthopedics segment saw a 6.3% increase in sales to $2.81 billion, which beat analysts’ expectations of $2.51 billion.
The Michigan-based company reported total revenue of $6.02 billion for the quarter ended March 31, below analysts’ expectations of $6.35 billion, according to data compiled by LSEG.
Stryker earned $2.60 per share for the quarter on an adjusted basis, falling short of estimates of $2.98 apiece.
(Reporting by Padmanabhan Ananthan in Bengaluru; Editing by Tasim Zahid)
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