Zimmer Biomet
(NYSE: ZBH)
shares fell today on third-quarter results that came in ahead of the consensus forecast.
Shares of ZBH were down 3.1% at $105.93 apiece in early-morning trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — fell slightly.
The Warsaw, Indiana–based orthopedic giant posted profits of $162.7 million in the quarter. That equals 77¢ per share on sales of $1.753 billion for the three months ended Sept. 30, 2023. Zimmer Biomet recorded a 16.1% bottom-line slide on sales growth of 5%.
Adjusted to exclude one-time items, earnings per share totaled $1.65, a nickel ahead of expectations on Wall Street. The company narrowly topped sales projections of $1.75 billion flat, too.
Zimmer Biomet went through a series of changes during the quarter after the departure of CEO Bryan Hanson, who left for the corner office at 3M Health Care. Ivan Tornos took over as CEO and the company subsequently made a series of executive changes.
“We’re very pleased to report another Zimmer Biomet quarter with strong revenue growth and earnings per share. Our team continues to successfully drive execution and growth, focusing on innovation to create value for the stakeholders we serve,” said Ivan Tornos, Zimmer Biomet president and CEO. “As ZB’s new CEO, I’m more confident than ever in our team, our full-year expectations for 2023 and that our solid growth – on both the top and bottom lines – will continue in 2024.”
Zimmer Biomet lowered its 2023 revenue growth guidance for a range between 6% and 6.5%. It previously projected an uptick of 6.5% to 7%. The company noted an increase in the expected impact of foreign currency exchange, too, raising that rate from 0.5% to 1%. Adjusted EPS forecasts remained the same as the company expects between $7.47 and $7.57 for the year.