SHERIDAN, WYOMING – May 6, 2025 – Stryker Corporation (NYSE: SYK) has announced its operating results for the first quarter of 2025, showing significant growth in both reported and organic sales, underscoring the company’s strong market performance. The global leader in medical technology posted a notable 11.9% increase in net sales, achieving $5.9 billion, with organic sales growth reaching 10.1%.
Key Financial Highlights
- Net Sales: Reported net sales for the quarter grew by 11.9%, reaching $5.9 billion, with a 12.8% increase in constant currency.
- Operating Income: Operating income margin stood at 14.3%, with adjusted operating income margin improving by 100 basis points to 22.9%.
- Earnings Per Share (EPS): Reported EPS decreased 17.6% to $1.69, while adjusted EPS saw a positive increase of 13.6%, reaching $2.84.
- Net Earnings: Reported net earnings totaled $654 million, a decrease of 17.0%, but adjusted net earnings increased by 14.0% to $1.1 billion.
Strong Performance Across Key Segments
Stryker’s MedSurg and Neurotechnology segment, one of its most significant divisions, demonstrated robust performance, with net sales increasing by 13.4%, reaching $3.5 billion. The segment's organic growth of 10.7% was driven primarily by strong unit volume and higher prices.
- MedSurg and Neurotechnology: The segment experienced a 13.4% increase in sales, with organic growth of 10.7%.
- Orthopaedics: This division saw a sales increase of 9.7%, achieving $2.4 billion in net sales. Organic growth in this category was 9.3%, primarily driven by increased unit volumes.
Operational Improvements and Market Outlook
Stryker’s CEO, Kevin A. Lobo, attributed the strong results to the continued momentum from 2024, including strong procedural volumes, heightened demand for capital products, and effective commercial execution. “We remain confident in our sales and earnings power for 2025, fueled by the strength of procedural volumes, demand for our capital products, and our commercial execution,” said Lobo.
- Capital Products: Continued strong demand for capital products, such as medical instruments and imaging systems, contributed to the significant organic growth.
- Market Outlook: Stryker has raised its 2025 organic net sales growth guidance to a range of 8.5% to 9.5%, reflecting a favorable pricing impact despite foreign exchange challenges.
Strategic Investments and Acquisition Impact
Stryker’s acquisition strategy continues to play a key role in its growth, with the company incorporating Inari Medical, Inc. (Inari) into its portfolio. Despite a modestly dilutive impact from the Inari acquisition, the company remains optimistic about its future earnings prospects. The integration of Inari is expected to further strengthen Stryker’s position in the neurovascular and vascular sectors.
- Acquisition Strategy: The company’s ongoing integration of Inari Medical is expected to enhance Stryker’s capabilities in neurovascular products.
- 2025 EPS Guidance: Stryker expects its adjusted EPS to be in the range of $13.20 to $13.45, reflecting both the Inari acquisition’s dilution and offsetting the $200 million tariff impact.
Conclusion
Stryker's first-quarter results demonstrate a continued commitment to driving innovation and operational excellence. With double-digit organic growth across its key segments and a strong outlook for the remainder of 2025, the company is positioned for sustained success in the global medical technology market.
For further information, visit Stryker’s official website.