Is Abbott Losing Share in Key Medtech Markets?

By and large, Abbott Laboratories had a phenomenal second quarter this year – and investors took notice. The company's stock hit its highest point since 1995 on Wednesday after beating Wall Street's quarterly expectations and raising its own outlook for 2018. Abbott, MD+DI's 2017 Medtech Company of the Year, clearly has a lot to celebrate as it continues to show the world what its made of. But at least one medtech analyst noticed that the company appears to have lost market share in cardiac rhythm management (CRM) and neuromodulation. Abbott reported CRM sales of $543 million in the second quarter, representing a growth of 4% compared to 0% growth in the first quarter and missed consensus of $568 million. "Since we estimate that the CRM market declined 2% in 2Q18, it appears that [Abbott] lost some modest share to both [Boston Scientific] and [Medtronic], likely due to competitor product launches and a replacement headwind," said Needham & Co.'s Mike Matson in a report issued Wednesday. Matson also noted that Abbott's neuromodulation sales of $222 million grew 5.8% compared to 18.8% in the first quarter and missed consensus of $242 million. He estimated that the neuromodulation market grew 12% in the second quarter and said it appears Abbott lost share to competitors, particularly Medtronic, given its new spinal cord stimulation product, and Boston Scientific, given its new spinal cord stimulation and deep brain stimulation products. Other medtech analysts also notice...
Source: MDDI - Category: Medical Devices Authors: Tags: Business Cardiovascular Source Type: news