From Yahoo Finance: 2025-05-05 07:40:00

Zimmer Biomet Holdings lowered its full-year adjusted profit forecast due to the impact from acquiring Paragon 28, currency volatility, and proposed tariffs. Analysts are watching how medical device makers like Zimmer will navigate these challenges and the effects of currency fluctuations. Zimmer’s first-quarter profit and revenue exceeded expectations, driven by strong demand for hip and knee devices.

Earlier this year, Zimmer announced the acquisition of Paragon 28 for $1.1 billion to expand its orthopedic surgical devices portfolio. The company now expects its 2025 adjusted profit per share to be between $7.90 and $8.10, down from the previous range of $8.15 to $8.35. Currency swings are anticipated to have a negligible to marginally positive impact on revenue, revised from an initial forecast of a negative impact.

Despite the challenges, Zimmer’s first-quarter performance was strong, with combined sales in its hips and knees units reaching $1.29 billion. The company posted a profit of $1.81 per share for the quarter ended March 31, topping estimates, and revenue came in slightly ahead of expectations at $1.91 billion. Peer company Stryker Corp also adjusted its profit outlook for 2025 and anticipated tariff impacts.



Read more at Yahoo Finance: Zimmer Biomet lowers 2025 profit forecast on acquisition costs, tariff uncertainty