(Reuters) -Medical device maker Solventum raised full-year adjusted profit forecast on Thursday, driven by strong sales of its wound care and surgical sterilization products alongside lower expenses.
Medical device makers have benefited from a surge in demand as more people, particularly older Americans, seek health care services and surgical procedures.
Minnesota-based Solventum is one of the largest providers of sterilization devices, wound dressings, medical tape and other hospital consumables used by healthcare facilities.
More than half of its revenue comes from its MedSurg business, which provides wound dressings and surgical equipment. Sales in the segment rose 4.8% to $1.22 billion during the quarter.
Earlier in the day, Solventum’s peer Zimmer Biomet Holdings also raised its annual profit forecast as it anticipates lower-than-expected tariff impact.
Last quarter, Solventum estimated tariff headwinds of $80 million to $100 million for 2025, translating to an earnings per share impact of 35 cents to 45 cents.
However, analysts now note that Solventum’s tariff risk has eased following the recent de-escalation of U.S.-China trade tensions.
The company now expects its 2025 adjusted profit per share to be in the range of $5.80 to $5.95, compared with previously projected adjusted profit of $5.45 to $5.65.
On an adjusted basis, the company earned second-quarter profit per share of $1.69, compared with analysts’ average estimates of $1.44, according to data compiled by LSEG.
(Reporting by Siddhi Mahatole, Sneha S K and Christy Santhosh in Bengaluru; Editing by Vijay Kishore and Mohammed Safi Shamsi)
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