(Reuters) – Becton Dickinson raised its annual profit forecast and beat second-quarter profit estimates on Thursday, as the group banks on strong demand for its surgical equipment and syringes.
Medical technology firms like Becton, Boston Scientific and Abbott Laboratories are benefiting from a boost in demand as more people, especially older patients, undergo surgeries that were put on hold during the pandemic.
The company’s biggest unit, which makes devices to administer drugs, reported quarterly sales of $2.45 billion, in line with analysts’ expectations, according to LSEG data.
Becton – one of the world’s largest syringe suppliers – said in March it was increasing the production of medical syringes in the U.S. after the country’s drug regulator recommended not using some China-made syringes as part of its quality probe.
The interventional unit that offers surgical and critical care devices recorded sales of $1.29 billion in the quarter, beating estimates of $1.19 billion.
The group’s total revenue grew 4.6% from a year earlier to $5.05 billion, slightly above expectations of $5.04 billion.
On an adjusted basis, the New Jersey-based company expects to earn $12.95 to $13.15 per share in the 2024 fiscal year, up from its previous forecast of $12.82 to $13.06 per share.
Becton earned an adjusted profit of $3.17 per share in the second quarter through March 31, above analysts’ estimates of $2.97 per share.
(Reporting by Christy Santhosh in Bengaluru; Editing by Milla Nissi)
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