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Mar 31, 2022

Stryker Q1 2022 Earnings Report

Reported solid first quarter results amidst a challenging macroeconomic environment and steady improvement of elective surgery volumes.

Key Takeaways

Stryker reported an 8.1% increase in net sales to $4.3 billion and a 9.2% increase in organic net sales. The company's reported EPS increased by 6.3% to $0.84, while adjusted EPS increased by 2.1% to $1.97.

Reported net sales increased 8.1% to $4.3 billion.

Organic net sales increased 9.2%.

Reported EPS increased 6.3% to $0.84.

Adjusted EPS increased 2.1% to $1.97.

Total Revenue
$4.28B
Previous year: $3.95B
+8.1%
EPS
$1.97
Previous year: $1.93
+2.1%
Organic Net Sales Growth
9.2%
Previous year: 1.8%
+411.1%
Gross Profit
$2.73B
Previous year: $2.51B
+9.0%
Cash and Equivalents
$1.46B
Previous year: $2.24B
-34.9%
Free Cash Flow
$84M
Previous year: $369M
-77.2%
Total Assets
$36.1B
Previous year: $33.5B
+8.0%

Stryker

Stryker

Stryker Revenue by Geographic Location

Forward Guidance

The company now expects full year 2022 organic net sales growth towards the high end of their guidance range of 6% to 8%. Adjusted net earnings per diluted share is expected at the lower end of their guidance range of $9.60 to $10.00 per share.

Positive Outlook

  • Strong orders for capital equipment.
  • Full year 2022 organic net sales growth towards the high end of guidance range of 6% to 8%.

Challenges Ahead

  • Dynamic supply chain pressures.
  • COVID-19 pandemic uncertainty.
  • Expect net sales in the full year will be adversely impacted by approximately 1.2% due to foreign currency exchange rates.
  • Expect adjusted net earnings per diluted share will be adversely impacted by approximately $0.10 to $0.15 in the full year due to foreign currency exchange rates.
  • Considering the supply chain pressures and inflationary environment.

Revenue & Expenses

Visualization of income flow from segment revenue to net income