Boston Scientific Sees 1Q Revenue Shortfall Due to Pandemic

By Colin Kellaher

Boston Scientific Corp. on Thursday said its first-quarter revenue will fall well short of expectations due to a decline in procedural volumes sparked by the coronavirus pandemic.

The Marlborough, Mass., maker of medical devices said it expects to report roughly flat revenue for the quarter and a decline of about 2% to 3% on an organic basis.

Boston Scientific in February had forecast revenue growth of 10% to 12% for the quarter, with organic revenue up 5% to 7%.

Boston Scientific said business trends through the first two months of the year were in line with expectations, but it said procedural volumes fell significantly as the coronavirus outbreak reached a global pandemic level in March.

Boston Scientific said it is moving to reduce costs based on the assumption that the second-quarter impact of the pandemic will be more significant than the first quarter.

The company said it is adjusting manufacturing output, significantly cutting executive pay temporarily reducing work-week schedules for employees.

Boston Scientific said it plans to report its first-quarter earnings on April 29.

Write to Colin Kellaher at [e-mail]

(END) Dow Jones Newswires

April 02, 2020 07:06 ET (11:06 GMT)

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