BOSTON SCIENTIFIC CORP Annual Report, Year Ended Dec 31, 2015

Boston Scientific Corporation (BSX) reported fiscal year 2015 net sales of $7.477 billion, a slight increase of 1% year-over-year. However, excluding the significant negative impact of foreign currency fluctuations ($505 million), net sales grew by a more robust 8%. This growth was driven by strong performance in its Peripheral Interventions, Urology and Pelvic Health (bolstered by the August 2015 acquisition of the American Medical Systems male urology portfolio), and Neuromodulation businesses. The company reported a net loss of $239 million ($0.18 per share) for the year. This loss was substantially impacted by significant non-GAAP adjustments, including substantial litigation-related charges ($1.105 billion), acquisition- and divestiture-related charges, and restructuring costs. Excluding these items, adjusted net income was $1.267 billion ($0.93 per share). The company continues to invest in its strategic imperatives, focusing on strengthening execution, expanding into high-growth adjacencies through strategic acquisitions, driving global expansion, managing costs, and developing key capabilities. The acquisition of the AMS male urology portfolio for $1.616 billion was a key strategic move in 2015, expanding its Urology and Pelvic Health segment. Boston Scientific also made progress in its key product launches and pipeline development, including the WATCHMAN device in the U.S. and its Lotus Valve System in Europe. Financially, the company's debt levels increased to $5.677 billion primarily due to funding acquisitions. While operating cash flow decreased significantly in 2015 due to litigation-related payments, the company maintained its investment-grade credit ratings. Investors should monitor the resolution of ongoing litigation and the company's ability to integrate its recent acquisitions effectively while managing its debt.