Stryker Pre-Announces 4Q:09; Files $1B Debt Financing
BY LAUREN UZDIENSKI, JANUARY 13, 2010
Stryker Corporation pre-announced 4Q:09 revenues of $1.8 billion, up 7% over 4Q:09 as reported and 3% when excluding the effects of currency. Revenues are about $35 million above analysts' estimates.
Orthopedic implant sales were $1.1 billion in 4Q:09, up 10% on an as-reported basis and 5% when excluding the effects of currency, a sequential slowdown from the 7% increase in sales in 3Q:09. Segment information will be provided when the company makes its final earnings report on January 26th.
The company also released its 2010 guidance, projecting constant-currency sales increases of between 5% and 8% for the coming year. The company attributes the projected growth to increases in shipments of orthopedic implants and MedSurg equipment. Diluted EPS is expected to be in the range of $3.20 to $3.30, an increase of 8% to 12% over 2009.
On the heels of the earnings report, Stryker announced the filing of a $1 billion debt financing consisting of two $500 million tranches. The company says they'll use the money for working capital and other general corporate purposes, fueling speculation of an upcoming acquisition.
