St. Jude Medical Inc. (STJ) reversed a fourth-quarter loss
following a year in which the medical-devices company was hurt by
disruptions in buying patterns at U.S. hospitals that have affected
sales of heart-rhythm devices.
Looking ahead, St. Jude forecast earnings of 66 cents to 68
cents a share for the first quarter and $2.71 to $2.76 for the
year. Analysts were expecting 65 cents, and $2.71, respectively,
according to a survey by Thomson Reuters.
Meanwhile, "We are pleased with our sequential increase in sales
during the fourth quarter, particularly given the fewer selling
days," said Chairman and Chief Executive Daniel J. Starks.
St. Jude reported a profit of $189.7 million, or 57 cents a
share, compared with a loss of $201.2 million, or 58 cents, a year
earlier. Excluding acquisition and other charges, earnings rose to
64 cents from 58 cents. Revenue climbed 6% to $1.20 billion, in
part from currency changes.
The company previously forecast earnings of 61 cents to 63 cents
on revenue of $1.20 billion.
Gross margin rose to 71.1% from 69.2%.
Sales in atrial fibrillation products, neuromodulation and
cardiovascular products showed double-digit gains, with growth for
cardiac rhythm management devices was more modest.
St. Jude shares closed Tuesday at $37.79 and were inactive
premarket.
-By Joel Stonington, Dow Jones Newswires; 212-416-2934;
joel.stonington@wsj.com