Summary
Stryker Corporation reported a solid first quarter for 2012, demonstrating year-over-year growth in net sales and net earnings. Net sales increased by 7.2% to $2.16 billion, driven by strong performance in the Neurotechnology and Spine segment, and moderate growth in Reconstructive and MedSurg segments. Diluted earnings per share saw a significant increase of 16.7% to $0.91. The company's financial health remains robust, with total assets standing at $12.46 billion and shareholders' equity at $8.02 billion. While operating cash flow decreased significantly compared to the prior year, this was largely influenced by working capital movements and specific legal settlement payments. Stryker continues to focus on strategic investments and operational efficiencies, including ongoing workforce reductions, to prepare for future market dynamics such as the upcoming medical device excise tax.
Financial Highlights
50 data points| Revenue | $2.16B |
| Cost of Revenue | $709.00M |
| Gross Profit | $1.45B |
| R&D Expenses | $112.00M |
| SG&A Expenses | $819.00M |
| Operating Expenses | $976.00M |
| Operating Income | $476.00M |
| Net Income | $350.00M |
| EPS (Basic) | $0.92 |
| EPS (Diluted) | $0.91 |
| Shares Outstanding (Basic) | 381.00M |
| Shares Outstanding (Diluted) | 383.80M |
Key Highlights
- 1Net sales increased 7.2% to $2.16 billion in Q1 2012 compared to $2.01 billion in Q1 2011.
- 2Net earnings grew 14.0% to $350 million, with diluted EPS rising 16.7% to $0.91 from $0.78.
- 3Neurotechnology and Spine segment showed the strongest growth at 12.4% year-over-year.
- 4Operating cash flow decreased significantly to $35 million from $204 million in the prior year, primarily due to working capital changes and legal settlements.
- 5The company recorded $14 million in restructuring charges related to a planned 5% global workforce reduction.
- 6Stryker repurchased $50 million of its common stock in Q1 2012 under its share repurchase program.