Boston Scientific says unlikely to meet 2026 sales, profit forecast after cyberattack

By Siddhi Mahatole

Sept 8 (Reuters) - Boston ‌Scientific said on ​Tuesday ​it no longer expects to meet its previously issued third-quarter and full-year 2026 sales and adjusted profit forecasts, after a cybersecurity incident ‌disrupted the medical device maker's global operations.

An unauthorized activity on some of ⁠its information technology systems, first identified on August 25, caused a network outage that disrupted manufacturing ‌and the processing and shipment ‌of customer orders, the company said in a regulatory filing.

Stifel analyst Rick Wise said investors increasingly view 2026 as a "lost year" for Boston Scientific and ​are likely to focus more on the company's prospects for 2027.

Shares of the company were down 2.3% in morning trading.

In July, Boston Scientific had forecast 2026 ⁠adjusted earnings of $3.28 to $3.32 per share and sales growth of 5.5% to 6.5% on a reported basis. For ​the third quarter, it had projected adjusted earnings of 80 cents to 82 cents per share.

It expects to recover a portion ​of the affected revenue as it ramps up ‌operations and works through backlogs, but said the full financial impact remains uncertain.

The incident is the latest in a series of ⁠cyberattacks on the healthcare sector, with medical device makers Abbott Laboratories, Stryker and Medtronic and drugmaker Novo Nordisk among those recently hit.

In an update on Saturday, Boston Scientific said that ⁠the incident's effects were limited to select internal infrastructure and that product quality analyses found ​no impairment beyond disruptions to new activations of its cardiac device remote-monitoring platform.

J.P.Morgan analyst Robbie Marcus said the cyberattack clouds visibility into Boston Scientific's underlying business trends, delaying investors' ability to ‌assess growth and competitive dynamics in key franchises, including electrophysiology and heart device Watchman.

The company said major distribution centers are now ‌processing and shipping orders at or above normal levels, sterilization facilities are operational, and ⁠manufacturing has resumed across most facilities ‌globally.

Boston Scientific plans to ​provide an updated outlook when it reports third-quarter results on October 28.

(Reporting by Siddhi Mahatole in Bengaluru; Editing by Shilpi Majumdar and ‌Leroy Leo)

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