Back to top

Image: Bigstock

Zimmer Biomet (ZBH) Tops Q2 Earnings, Revenue Estimates

Read MoreHide Full Article

Ever undergone reconstructive orthopedic surgery? Yes, then you may have been implanted with one of the personalized joint replacement technologies of Indiana-based, one of the leading orthopedic medical devices manufacturer–Zimmer Biomet Holdings, Inc. (ZBH - Free Report) , formerly known as Zimmer Holdings. In June 2015, legacy Zimmer completed the acquisition of Biomet for $14.0 billion. With operations in more than 25 countries, the company markets its orthopedic reconstructive, spinal and trauma devices, biologics, dental implants and related surgical products in more than 100 countries.

Currently, Zimmer Biomet has a Zacks Rank #2 (Buy) but that could change following its second quarter 2016 earnings report which has just released. We have highlighted some of the key details from the just-released announcement below:

Earnings: The Zacks Consensus Estimate remained steady at $1.96 per share over the last 60 days. Zimmer Biomet’s adjusted earnings per share of $2.02 beat this estimate by 3.1%.

 

ZIMMER BIOMET Price and EPS Surprise

ZIMMER BIOMET Price and EPS Surprise | ZIMMER BIOMET Quote

 

Revenues: Zimmer Biomet posted revenues of $1.934 billion, comfortably beating the Zacks Consensus Estimate for revenues of $1.896 billion.

Key Stats: Revenues derived from Zimmer’s Knees segment were up 48.6% year over year to $696.9 million, while Hips recorded sales of $477.2 million, up 49.6% compared with the prior-year quarter. Revenues from S.E.T (Surgical, Sports Medicine, Foot and Ankle, Extremities and Trauma) improved 85.4% to $412.4 million.

Major Factors:  Zimmer Biomet posted better-than-expected second quarter results driven by growth in the company’s S.E.T. category as well as its ongoing strength in the Asia Pacific region. Management has raised the lower end of its adjusted EPS guidance by 5 cents.

Stock Price: Following the earnings release, Zimmer Biomet has gained 2.3% in the pre-market trading session. This reflects investors’ optimism on the results. However, the price movement during the full trading session will show whether the results have affected the market.

Check back later for our full write up on this Zimmer Biomet earnings report later!

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Zimmer Biomet Holdings, Inc. (ZBH) - free report >>

Published in