NYSE$SYK

Stryker Corp · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Reported strong organic sales growth and remained committed to margin expansion goals.

Stryker reported a strong second quarter in 2024, with net sales increasing by 8.5% to $5.4 billion and organic net sales growing by 9.0%. The company's reported EPS increased by 10.9% to $2.14, while adjusted EPS increased by 10.6% to $2.81. Stryker is raising its full-year guidance for organic net sales growth to 9.0% to 10.0% and adjusted net earnings per diluted share to $11.90 to $12.10.

  • Net sales increased 8.5% to $5.4 billion.
  • Organic net sales increased 9.0%.
  • Reported EPS increased 10.9% to $2.14.
  • Adjusted EPS increased 10.6% to $2.81.

Headline financials

Total Revenue

$5.42B

Previous: $5B+8.5%
EPS

$2.14

Previous: $2.54-15.7%
Organic Net Sales Growth

9.0%

Previous: 11.9%-24.4%
Capital Expenditures

-$319M

Previous: -$282M-13.1%
Free Cash Flow

$506M

Previous: $456M+11.0%
Net Income

$825M

Previous: $738M+11.8%
Operating Income

$1.05B

Previous: $965M+8.9%
Gross Profit

$3.42B

Previous: $3.18B+7.4%
Cash & Equivalents

$1.87B

Previous: $1.4B+33.8%
Total Assets

$39.1B

Previous: $37.4B+4.6%
R&D Expense

$363M

No prior period
Stock-Based Comp

$46M

Previous: $39M+17.9%

Revenue & EPS history

Stryker · Revenue · Quarterly

$5.42B

Q2 2024+8.5%vs Q2 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Stryker · $1.53B total across 1 segment · Q3 2021

  • Orthopaedics
    $1.53B+16.1%

Forward guidance

Stryker now expects full year 2024 organic net sales growth to be in the range of 9.0% to 10.0% with a favorable pricing impact of approximately 0.5%. Given sales momentum, the company now expects adjusted net earnings per diluted share to be in the range of $11.90 to $12.10.

Tailwinds

  • Expects full year 2024 organic net sales growth to be in the range of 9.0% to 10.0%.
  • Expects a favorable pricing impact of approximately 0.5%.
  • Expects adjusted net earnings per diluted share to be in the range of $11.90 to $12.10.
  • Sustained procedural volumes.
  • Healthy demand for capital products.

Headwinds

  • Anticipate a moderately unfavorable impact on full year net sales if foreign exchange rates hold near current levels.
  • Expect adjusted net earnings per diluted share will be negatively impacted in the range of $0.10 to $0.15 due to foreign exchange rates.
  • Weakening of economic conditions could adversely affect the level of demand.
  • Geopolitical risks could lead to increased market volatility.
  • Pricing pressures generally, including cost-containment measures, could adversely affect the price of or demand.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+0.7%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+1.7%

Avg return

30 days after

58%

42 / 73 earnings

Positive

+11.8%

Q4 2022

Best reaction

-6.3%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.4%-7.2%-3.0%
Q4 2025+2.6%+1.8%+9.4%
Q3 2025-3.0%-3.1%+0.6%
Q2 2025+0.0%-0.4%+3.6%
Q1 2025+1.0%+2.7%+2.3%
Q4 2024-2.2%-2.2%-2.8%
Q3 2024+2.1%+3.1%+9.0%
Q2 2024-1.7%-0.5%+7.4%
Q1 2024-3.2%-3.1%+0.5%
Q4 2023+6.7%+8.8%+11.0%
Q3 2023+1.5%+1.1%+9.5%
Q2 2023+3.3%+2.8%+3.6%
Q1 2023-1.9%-5.0%-8.0%
Q4 2022+11.8%+13.5%+5.0%
Q3 2022-4.0%-8.0%+2.0%
Q2 2022+5.1%+6.6%+7.5%
Q1 2022-3.2%-4.5%-5.1%
Q4 2021+0.1%+0.1%+7.1%
Q3 2021-0.9%+1.5%-9.3%
Q2 2021+2.0%+2.8%+2.9%
Q1 2021-2.1%-1.0%-4.1%
Q4 2020-3.4%-4.8%+2.0%
Q3 2020-1.4%+1.6%+13.6%
Q2 2020-4.0%-6.0%-1.6%
Q1 2020-6.3%-2.5%+1.6%
Q4 2019-1.8%-1.8%-9.2%
Q3 2019+1.6%-0.4%-4.1%
Q2 2019+0.4%+0.0%+0.2%
Q1 2019+1.6%+3.4%+1.3%
Q4 2018+10.7%+9.5%+16.4%
Q3 2018-1.7%-0.7%+1.0%
Q2 2018-2.7%-3.2%-3.0%
Q1 2018+3.2%+2.2%+5.1%
Q4 2017-2.6%-3.9%-5.6%
Q3 2017+6.4%+3.1%+3.0%
Q2 2017+1.4%+1.5%-4.0%
Q1 2017+1.3%+1.4%+4.8%
Q4 2016-0.2%+3.3%+3.6%
Q3 2016+4.0%+4.5%+2.7%
Q2 2016-4.4%-4.8%-7.0%
Q1 2016-0.4%
Q4 2015+4.4%
Q3 2015-5.4%
Q2 2015+2.5%
Q1 2015+3.3%
Q4 2014+0.2%
Q3 2014+1.0%
Q2 2014-0.2%
Q1 2014-1.1%
Q4 2013-1.0%
Q3 2013+2.7%
Q2 2013+2.2%
Q1 2013+1.1%
Q4 2012+2.8%
Q3 2012+0.3%
Q2 2012-2.9%
Q1 2012+2.2%
Q4 2011-0.0%
Q3 2011-2.9%
Q2 2011-0.3%
Q1 2011+0.2%
Q4 2010+1.9%
Q3 2010+2.3%
Q2 2010-0.7%
Q1 2009-1.1%
Q1 2010+0.2%
Q4 2009+1.9%
Q4 2007+1.9%
Q3 2008+2.9%
Q3 2009+2.9%
Q2 2009+5.1%
Q2 2008+5.1%
Q4 2008+5.1%

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