Stryker expected to have a strong 2024 as demand for devices increases due to increase in surgeries By Reuters

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(Reuters) – striker Corp (NYSE:) on Tuesday forecast 2024 earnings above Wall Street estimates, based on a post-pandemic pickup for certain surgical procedures at hospitals to boost sales of medical and surgical devices.

Shares of the medical technology company rose 3.2% to about $327 after the bell.

Demand for medical devices has surged recently as older Americans return to hospitals for procedures such as joint replacements that had been postponed during the pandemic.

The joint implant maker sees 2024 earnings per share in the range of $11.70 to $12.00, beating analysts’ estimates of $11.56, according to LSEG data.

Large competitor and industry leader Johnson & Johnson (NYSE:), which reported better-than-expected medical device sales last week, said it expects medtech-related procedures to remain high in 2024.

Stryker, which provides implants for joint replacements, trauma and spine-based surgeries, surgical devices and more, reported full-year 2023 sales of $20.5 billion, beating estimates of $20.28 billion.

The Michigan-based company expects organic net sales growth in 2024 to range from 7.5% to 9.0%.

Quarterly revenue increased 11.5% to $5.82 billion, compared to estimates of $5.6 billion.

Stryker’s Medical Surgery and Neurotechnology segment revenue increased 12.5% ​​to $3.43 billion, while Orthopedics and Spine segment revenue increased 11.6% to $2.39 billion.

On an adjusted basis, the company reported earnings of $3.46 per share for the quarter ended Dec. 31, beating analysts’ estimates of $3.27.