Medtronic raises 2022 profit forecast as medical device sales rebound
Aug 24 (Reuters) - Medtronic Plc on Tuesday raised its full-year profit forecast and beat quarterly earnings estimates on the back of a recovery in demand for its medical devices.
Other medical device makers have also seen a rebound in demand as more people opted for non-urgent procedures deferred during the coronavirus-induced lockdowns.
Rival Becton Dickinson and Co, for instance, also topped revenue estimates and raised its earnings forecast for fiscal year 2021.
"(We are seeing) continued procedure volume recovery, with most of our businesses at or above pre-COVID levels," Medtronic Chief Executive Officer Geoff Martha said in a statement.
Shares of the Dublin-based company were up 2.4% at $131.5 before the bell.
Revenue at Medtronic's heart devices unit, its biggest growth driver, increased 19% to $2.89 billion.
Medtronic said it now expects 2022 adjusted earnings per share in the range of $5.65 to $5.75, compared with prior expectations of between $5.60 and $5.75.
Excluding items, Medtronic earned $1.41 per share, topping analysts' expectations of $1.32 per share.
Revenue for the quarter rose 22.7% to $7.99 billion. (Reporting by Mrinalika Roy and Amruta Khandekar in Bengaluru; Editing by Vinay Dwivedi)
