Boston Scientific (BSX) Reports Prelim. Q4 Sales of $2.9B

Preliminary net sales for the fourth quarter by business and region:

Change

Three Months Ended December 31,

Reported Basis

Less: Impact of Foreign Currency Fluctuations

Operational Basis

Less: Impact of Recent Acquisitions/Divestitures

Organic Basis

(in billions / unaudited)

2019

2018

Endoscopy

$

0.50

$

0.46

8.8%

(0.8)%

9.6%

0.0%

9.6%

Urology and Pelvic Health

0.38

0.34

11.1%

(0.6)%

11.7%

0.0%

11.7%

MedSurg

0.88

0.80

9.8%

(0.8)%

10.6%

0.0%

10.6%

Cardiac Rhythm Management

0.47

0.49

(3.3)%

(0.7)%

(2.6)%

0.0%

(2.6)%

Electrophysiology

0.08

0.08

3.0%

(0.7)%

3.7%

0.0%

3.7%

Neuromodulation

0.26

0.22

18.7%

(0.5)%

19.2%

11.4%

7.8%

Rhythm and Neuro

0.82

0.79

3.5%

(0.6)%

4.1%

3.1%

1.0%

Interventional Cardiology

0.75

0.67

12.1%

(0.7)%

12.8%

0.0%

12.8%

Peripheral Interventions

0.40

0.30

33.2%

(0.6)%

33.8%

30.2%

3.6%

Cardiovascular

1.15

0.97

18.7%

(0.6)%

19.3%

9.3%

10.0%

Medical Devices3

2.85

2.56

11.2%

(0.7)%

11.9%

4.6%

7.3%

Specialty Pharmaceuticals4

0.06

n/a

n/a

n/a

n/a

n/a

n/a

Net Sales

$

2.90

$

2.56

13.4%

(0.7)%

14.1%

6.8%

7.3%

Change

Three Months Ended December 31,

Reported Basis

Less: Impact of Foreign Currency Fluctuations

Operational Basis

(in billions / unaudited)

2019

2018

U.S.

$

1.65

$

1.46

13.4%

0.0%

13.4%

EMEA

0.60

0.56

7.2%

(2.5)%

9.7%

APAC

0.49

0.45

11.3%

(0.2)%

11.5%

Latin America and Canada

0.10

0.10

0.6%

(2.3)%

2.9%

Medical Devices3

2.85

2.56

11.2%

(0.7)%

11.9%

Specialty Pharmaceuticals4

0.06

n/a

n/a

n/a

n/a

Net Sales

$

2.90

$

2.56

13.4%

(0.7)%

14.1%

Preliminary net sales for the full year by business and region:

Change

Twelve Months Ended December 31,

Reported Basis

Less: Impact of Foreign CurrencyFluctuations

Operational Basis

Less: Impact of Recent Acquisitions/Divestitures

Organic Basis

(in billions / unaudited)

2019

2018

Endoscopy

$

1.89

$

1.76

7.5%

(1.7)%

9.2%

0.0%

9.2%

Urology and Pelvic Health

1.41

1.25

13.4%

(1.3)%

14.7%

6.3%

8.4%

MedSurg

3.31

3.01

10.0%

(1.5)%

11.5%

2.7%

8.8%

Cardiac Rhythm Management

1.94

1.95

(0.6)%

(1.8)%

1.2%

0.0%

1.2%

Electrophysiology

0.33

0.31

5.5%

(2.0)%

7.5%

0.0%

7.5%

Neuromodulation

0.87

0.78

12.0%

(1.1)%

13.1%

6.3%

6.8%

Rhythm and Neuro

3.14

3.04

3.3%

(1.6)%

4.9%

1.6%

3.3%

Interventional Cardiology

2.82

2.59

8.7%

(2.3)%

11.0%

1.0%

10.0%

Peripheral Interventions

1.39

1.19

17.3%

(1.8)%

19.1%

11.3%

7.8%

Cardiovascular

4.21

3.78

11.4%

(2.1)%

13.5%

4.2%

9.3%

Medical Devices3

10.65

9.82

8.5%

(1.7)%

10.2%

2.9%

7.3%

Specialty Pharmaceuticals4

0.08

n/a

n/a

n/a

n/a

n/a

n/a

Net Sales

$

10.74

$

9.82

9.3%

(1.8)%

11.1%

3.8%

7.3%

Change

Twelve Months Ended December 31,

Reported Basis

Less: Impact of Foreign Currency Fluctuations

Operational Basis

(in billions / unaudited)

2019

2018

U.S.

$

6.10

$

5.54

10.1%

0.0%

10.1%

EMEA

2.26

2.18

4.0%

(5.4)%

9.4%

APAC

1.90

1.73

9.9%

(2.4)%

12.3%

Latin America and Canada

0.39

0.38

3.3%

(4.0)%

7.3%

Medical Devices3

10.65

9.82

8.5%

(1.7)%

10.2%

Specialty Pharmaceuticals4

0.08

n/a

n/a

n/a

n/a

Net Sales

$

10.74

$

9.82

9.3%

(1.8)%

11.1%

Sales growth rates that exclude the impact of foreign currency fluctuations and/or the impact of recent acquisitions and divestitures with significant sales are not prepared in accordance with U.S. GAAP.

1. Operational revenue growth excludes the impact of foreign currency fluctuations.

2. Organic revenue growth excludes the impact of foreign currency fluctuations and sales from the recent acquisitions of NxThera, Inc., Claret Medical, Inc., Augmenix, Inc., Vertiflex, Inc. and BTG plc (BTG), each with no prior year comparable sales. Organic revenue growth also excludes the impact of the divestiture of our global embolic microspheres portfolio, a transaction entered into in connection with obtaining the antitrust clearances required to complete the BTG transaction.

3. We have three historical reportable segments comprised of Medical Surgical (MedSurg), Rhythm and Neuro, and Cardiovascular, which represent an aggregation of our operating segments that generate revenues from the sale of medical devices (Medical Devices). As part of our acquisition of BTG on August 19, 2019, we acquired an Interventional Medicine business, which is now included in our Peripheral Interventions operating segment's 2019 revenues from August 19, 2019 through December 31, 2019.

4. As part of our acquisition of BTG on August 19, 2019, we acquired a specialty pharmaceuticals business (Specialty Pharmaceuticals). Subsequent to acquisition, Specialty Pharmaceuticals is now a stand-alone operating segment presented alongside our Medical Device reportable segments. Specialty Pharmaceuticals net sales are substantially U.S. based. Our chief operating decision maker (CODM) reviews financial information of our globally managed Specialty Pharmaceuticals operating segment at the worldwide level without further disaggregation into regional results. As such, Specialty Pharmaceuticals net sales are presented globally, and our Medical Devices reportable segments regional net sales results do not include Specialty Pharmaceuticals.