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11 of the biggest medtech earnings stories from Q4 2022

(From Ishant Mishra on Unsplash) Layoffs, growth and more — the biggest medtech companies in the world experienced a range of outcomes in the fourth quarter of 2022.

Over the past two months, many of the largest medtech companies across the globe reported their financial results for the three months ended Dec. 31, 2022 (with a handful of exceptions due to different operating calendars).

Some companies offered reasons to feel good about the direction of the medtech industry. Others went in the opposite direction, enforcing workforce reductions and cost-cutting efforts. MassDevice compiled a list of layoffs across the industry, which have now affected more than 19,000 workers.

As layoff news mounted across the industry over the past month, MassDevice‘s MedTech 100 Index declined 2.6%. That was slightly worse than the S&P 500, which was down 2%.

Here are some of the biggest stories from the most recent quarter, all coming from companies within the…

Medtech jobs: The world’s largest medical device companies are hiring

Medical device companies are trying to fill thousand of medtech jobs. [Photo by ijeab – stock.adobe.com]

The world’s largest medical device companies are still hiring for medtech jobs despite layoffs in tech and other industries.

Medtech developers — and medtech jobs — are resilient, with the industry’s COVID-19 pandemic performance only bolstering its recession-proof reputation.

That’s not to say there haven’t been job cuts in medtech, led by thousands of layoffs at Philips as it struggles with a massive recall of deadly respiratory devices. But most medical device manufacturers are still hiring, and in some cases they can’t attract enough candidates to fill every vacancy in a tight labor market.

Stryker, for example, grew to approximately 51,000 employees as of the end of 2022, increasing its headcount by nearly 11 percent last year. Boston Scientific reported nearl…

ResMed revenue up 16% as it boosts production amid CPAP shortages

ResMed (NYSE: RMD, ASX: RMD) reported Street-beating Q2 results as it boosted production to meet the demand created by Philips’ massive respiratory device recall.

The San Diego–based maker of CPAPs and other respiratory devices earned $224.9 million, or $1.53 per share, off nearly $1.034 billion in revenue for the quarter that ended Dec. 31, 2022. The results — posted yesterday evening — represented a bottom-line gain of 11% and a top-line gain of 16%.

Adjusted to exclude one-time items, ResMed earned $1.66 per share. The results came in 4¢ ahead of The Street, where analysts expected adjusted EPS of $1.62 off $1 billion in revenue.

ResMed CEO Mick Farrell said earlier this month that the opening of a massive new plant in Singapore brought ResMed closer to catching up with skyrocketing CPAP demand.

ResMed is seeking to meet skyrocketing demand amid competitor Philips’ recall

Medtech giant Philips has been out of the market for more tha…

ResMed’s new factory brings it closer to meeting CPAP demand after Philips recall

The AirSense 11 CPAP system [Image courtesy of ResMed]

The opening of a new plant — billed as the biggest of its kind on Earth — brings ResMed closer to catching up with skyrocketing CPAP demand.

That was one of the big takeaways from ResMed CEO Mick Farrell’s talk at the annual J.P Morgan Healthcare Conference in San Francisco yesterday. The San Diego–based company has found supply chain challenges hindering its ability to meet the demand that surged after a serious recall forced competitor Philips out of the market.

“Every month and every quarter we get closer to meeting that demand,” Farrell said.

ResMed held a grand opening for the 270,000-square-foot Singapore plant in November. Farrell yesterday described it as the biggest respiratory devices manufacturing facility on the planet.

“We have the capability in that plant to take the whole of the market’s need…

ResMed’s new factory brings it closer to meeting CPAP demand after Philips recall

The AirSense 11 CPAP system [Image courtesy of ResMed]

The opening of a new plant — billed as the biggest of its kind on Earth — brings ResMed closer to catching up with skyrocketing CPAP demand.

That was one of the big takeaways from ResMed CEO Mick Farrell’s talk at the annual J.P Morgan Healthcare Conference in San Francisco yesterday. The San Diego–based company has found supply chain challenges hindering its ability to meet the demand that surged after a serious recall forced competitor Philips out of the market.

“Every month and every quarter we get closer to meeting that demand,” Farrell said.

ResMed held a grand opening for the 270,000-square-foot Singapore plant in November. Farrell yesterday described it as the biggest respiratory devices manufacturing facility on the planet.

“We have the capability in that plant to take the whole of the market’s need…

ResMed completes $1B acquisition of Medifox Dan

ResMed (NYSE:RMD) announced today that it completed its previously announced acquisition of Medifox Dan.

In June, ResMed announced an agreement to acquire Medifox Dan for €958.6 million ($984.5 million). Medifox Dan develops clinical, financial and operational software solutions for out-of-hospital care providers. It offers care documentation, personnel planning, administration and billing, among other things.

When the company announced the acquisition, it said it planned to fund the deal with its existing credit facilities. It expects the acquisition to be accretive to its adjusted diluted earnings per share.

Hildesheim, Germany-based Medifox Dan has more than 700 employees. It now operates under its current brand within ResMed’s software as a service (SaaS) business segment.

Medifox Dan offers solutions similar to those already belonging to the company’s leading U.S. SaaS brands. Those brands include MatrixCare and Brightree.

Res…

Why are so many medical device companies making big investments in Ireland?

[Image from Ainars Djatlevskis on Unsplash] The foreign direct investment agency for Ireland has some of the biggest names in medtech investing in the country.

Within recent years, a number of major medtech companies celebrated anniversaries. Abbott’s was 70 years, Medtronic’s was 40 and Boston Scientific’s was 25.

That’s how long those companies have operated in Ireland.

Gerard Kilcommins, Medtronic VP of global manufacturing, vascular therapies and implants and country director in Ireland, said in a report earlier this year that its 40-year anniversary represents “an important milestone” in the company’s history.

“Our sites in Ireland have played a significant role in Medtronic’s evolution from medical device manufacturer to a global leader in healthcare technology,” Kilcommins said in July.

Each of those three companies, plus many more big names in medtech, choose Ireland for a broad range of inve…

ResMed opens manufacturing plant in Singapore

[Image courtesy of Google]ResMed (NYSE: RMD, ASX: RMD) this week announced the grand opening of its new Advanced Manufacturing Center in Singapore’s Tuas area.

The new 270,000-square-foot facility doubles the respiratory care company’s presence in Singapore to serve its key manufacturing hub in Asia Pacific. The facility will employ nearly 1,000 people and has smart dashboards that integrate real-time data to monitor the performance of production lines.

ResMed’s new facility also has the manufacturing capacity and footprint to scale production for connected devices and mask systems. The company plans to use the new facility to produce its latest positive airway pressure (PAP) system, which allows users to monitor their own sleep apnea treatment.

“Singapore’s strategic location and support for business investment, coupled with ResMed’s world-leading devices and digital health offerings, provides the perfect opportunity to expand our manufac…

ResMed partners with Verily on digital health for sleep disorders

ResMed and Google’s sister company Verily recently launched a digital health joint venture called Primasun.

The companies launched the joint venture on Nov. 13 during HLTH 2022 in Las Vegas. They said Primasun will combine advanced healthcare technology and research into one comprehensive digital health platform. It will work with employers and healthcare providers to identify populations at risk of sleep disorders. After that, it will connect patients to certified sleep physicians.

“Sleep is the foundation of physical and mental health, and at Primasun, we believe there’s an opportunity to build a more efficient, equitable healthcare solution that helps patients clinically improve their sleep, and in turn, their quality of life,” said Primasun CEO Jonathon Lobbins. Most recently, Lobbins was VP of strategy and business development at Siemens Healthineers.

Initially, Primasun is offering a product that connects patients with certi…

ResMed powers through supply chain challenges in Q1

ResMed (NYSE: RMD, ASX: RMD) reported first-quarter results that beat The Street on revenue but missed by a penny on earnings per share.

CEO Mick Farrell yesterday evening expressed confidence that ResMed’s suppliers will enable the maker of sleep therapy tech such as CPAPs to steadily increase production through the fiscal year. Farrell got to personally meet with many critical suppliers during a company event in Sydney earlier this year, impressing on them the important role that ResMed plays in improving lives.

In addition to the extra supplier outreach, ResMed responded to the global semiconductor supply shortage by launching card-to-cloud (C2C) versions of its AirSense 10 and AirCurve 10 products. The C2C products do not incorporate a communications model. Meanwhile, ResMed continued to launch its AirSense 11, which includes new features such as a touch screen, algorithms for patients new to therapy, and digital enhancements and over-the-air update c…

How Medtronic, Abbott, Resmed see healthcare improving through ecosystems

Medtronic’s Geoff Martha (left), Abbott’s Lisa Earnhardt (middle) and ResMed’s Mick Farrell (right). The trio discussed the medtech ecosystem at AdvaMed’s The MedTech Conference in Boston.

According to McKinsey & Company Senior Partner Rajesh Parekh, “ecosystem” is a word used plenty in the tech world. Now it’s coming into the medtech space.

So, what is an ecosystem? How can medtech companies take advantage of one to provide better care and improved patient outcomes? How can they do so with speed in an ever-changing environment? Three major medtech leaders joined Parekh at AdvaMed’s The MedTech Conference in Boston to try and explain that.

Medtronic Chair and CEO Geoff Martha, Abbott EVP of Medical Devices Lisa Earnhardt and ResMed CEO Mick Farrell offered their views on ecosystems in the space.

What is an ecosystem in healthcare?

Earnhardt said an ecosystem brings a variety of stakeholders together to …

ResMed expects steady growth over the next year

ResMed (NYSE: RMD, ASX: RMD) today reported fourth-quarter results that beat the consensus forecast on Wall Street amid continued adoption of its next-gen AirSense 11 CPAP.

CEO Mick Farrell said in a news release that ResMed launched the fully cloud-connectable AirSense 11 into several new European countries. The AirSense 11 is also selling well in the U.S., the company said.

Farrell also detailed ResMed’s strategy to deal with the semiconductor shortage facing ResMed and many other medtech companies:

“We also introduced our newest device to meet the needs of an industry crisis in PAP supply, the AirSense 10 Card-to-Cloud solution, during the quarter. The card-to-cloud device was launched into the U.S. and many other markets and is designed to work without an embedded communications module. This redesign allowed us to increase deliveries to customers and ultimately to get many more patients onto life-saving sleep apnea and respiratory care th…