Coronavirus will cost Boston Scientific $10M to $40M in Q1, company says

Boston Scientific expects to lose $10 million to $40 million in sales in the first quarter of 2020 because of the impact of the coronavirus, the Star Tribune reported. 

The Chinese healthcare system is focused on combating the coronavirus instead of purchasing medical devices, and the outbreak has disrupted Boston Scientific's manufacturing operations in China, executives told the Star Tribune.  

Boston Scientific is expecting sales to slow in the first quarter of 2020, but pick back up in the second quarter. The company sold about $500 million medical devices in China last year. 

In its fourth quarter earnings report for 2019, released Feb. 5, the company said it expects organic revenue growth of 5 percent to 7 percent in the first quarter, but it would have been 6 percent to 7.5 percent without the coronavirus, according to the Star Tribune

Boston Scientific reported overall strong earnings for the fourth quarter, with profits of $4 billion or $2.83 per share. For all of 2019, it had sales of $10.7  billion, a 9.3 percent growth over 2018. 

The company estimates its total revenue growth for 2020 to be 10 percent to 12 percent. 

"We’re confident that we have the pipeline, leadership team and focused execution to deliver on our goals to address unmet clinical needs and work to improve the lives of millions of patients," CEO Mike Mahoney said

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