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Mar 31, 2020

Boston Scientific Q1 2020 Earnings Report

Boston Scientific reported a mixed performance in Q1 2020, with sales growth but a decline in GAAP earnings per share.

Key Takeaways

Boston Scientific's Q1 2020 sales reached $2.543 billion, reflecting growth on a reported and operational basis, but a decline on an organic basis. GAAP earnings per share decreased, while adjusted earnings per share also saw a reduction compared to the prior year. The company withdrew its Q1 2020 sales and EPS guidance due to the COVID-19 pandemic.

Sales grew by 2.0% on a reported basis, 3.2% on an operational basis, but declined 2.9% organically.

GAAP earnings were $0.01 per share, down from $0.30 per share in the previous year.

Adjusted earnings per share were $0.28, compared to $0.35 a year ago.

The company withdrew its Q1 2020 sales and EPS guidance due to the uncertain impact of the COVID-19 pandemic.

Total Revenue
$2.54B
Previous year: $2.49B
+2.0%
EPS
$0.28
Previous year: $0.35
-20.0%
MedSurg Organic Revenue Growth
2.1%
Cardio Organic Revenue Growth
-2.5%
Gross Profit
$1.74B
Previous year: $1.75B
-0.6%
Cash and Equivalents
$370M
Previous year: $139M
+166.2%
Free Cash Flow
-$177M
Previous year: $287M
-161.7%
Total Assets
$30.1B
Previous year: $23.8B
+26.5%

Boston Scientific

Boston Scientific

Boston Scientific Revenue by Segment

Boston Scientific Revenue by Geographic Location

Forward Guidance

Due to the uncertain scope and duration of the COVID-19 pandemic, the company withdrew its full-year 2020 sales and EPS guidance.

Challenges Ahead

  • Uncertain scope and duration of the COVID-19 pandemic.
  • Uncertainty regarding the timing of global recovery.
  • Inability to estimate the overall impacts on operations.
  • Inability to estimate the impacts on financial results.
  • Withdrawal of full-year 2020 sales and EPS guidance.

Revenue & Expenses

Visualization of income flow from segment revenue to net income