
Boston Sci Q2 Revenue Up 23 Percent
Key Takeaways
Boston Scientific (BSX 4. 20%), a leader in medical devices for cardiovascular and surgical, reported its second-quarter 2025 results on July 23, 2025. The company posted revenue and earnings well...
Article Overview
Quick insights and key information
7 min read
Estimated completion
investment
Article classification
July 23, 2025
02:52 PM
The Motley Fool
Original publisher
Boston Scientific (BSX 4. 20%), a leader in medical devices for cardiovascular and surgical, reported its second-quarter 2025 results on July 23, 2025
The company posted revenue and earnings well above Wall Street expectations for the period, with revenue of $5. 06 billion topping analyst estimates of $4. 89 billion
Adjusted (non-GAAP) earnings per (EPS) landed at $0. 75, also ahead of the jected $0
However, Both numbers exceeded the upper end of Boston Scientific's own guidance
However, Management characterized the quarter as one marked by strong sales growth, led by outperformance in its Cardiovascular segment, while acknowledging margin pressures ahead from newly enacted tariffs and special attention needed for international and MedSurg trends
Furthermore, MetricQ2 2025Q2 2025 EstimateQ2 2024Y/Y ChangeEPS (Non-GAAP)$0, considering recent developments
Nevertheless, 0%Revenue (GAAP)$5. 06 billion$4
At the same time, 89 billion$4. 12 billion22
However, Additionally, 8%Revenue vs
Nevertheless, Guidance Midpoint (Non-GAAP)22. 8% reported(Guidance midpoint: 18. 5%)EPS (GAAP)$0. 9%Revenue – Cardiovascular segment$3. 35 billion$2, in today's market environment
However, 64 billion26
On the other hand, 8%Revenue – MedSurg segment$1. 72 billion$1. 48 billion15
Conversely, 7% Source: Analyst estimates vided by FactSet
Furthermore, Management expectations based on management's guidance, as vided in Q1 2025 earnings report
Company Overview and Strategic PrioritiesBoston Scientific develops and a wide range of medical nologies, supplying hospitals and physicians around the world
On the other hand, Its two main segments are Cardiovascular, which covers devices for heart and blood vessel conditions, and MedSurg, which vides a lineup of minimally invasive tools for surgery, urology, endoscopy, and pain management
The company's top-selling families include the WATCHMAN FLX left atrial appendage closure device (helps prevent strokes in certain heart patients), and WaveWriter Alpha spinal cord stimulators (pain management devices), in light of current trends
The company has recently concentrated efforts on four pillars: building category leadership, in re and development, entering adjacent medical fields through acquisitions, and strengthening its global reach
Success depends on robust new duct launches, winning regulatory apvals, integrating acquisitions, and achieving scale in fast-growth regions
Nevertheless, On the other hand, Maintaining high gross margins, while navigating regulatory and cost challenges such as tariffs and supply chain pressures, is critical for Boston Scientific as it seeks to balance growth and fitability
Quarterly Highlights: Financial Performance and DriversRevenue for the quarter came in $168 million above consensus, reflecting strong demand for core duct lines
In contrast, Net income attributable to Boston Scientific stockholders totaled $797 million, up sharply from $324 million in the same quarter last year
Adjusted net income rose to $1
Furthermore, 13 billion
On the other hand, The adjusted gross margin stood at 69. 5 %, a slight drop from early 2025 levels, as management called out tariff impacts ly to affect the second half of the year
Operating income also imved, despite higher outlays for re and development and selling, general, and administrative expenses (SG&A)
The Cardiovascular segment led growth, with sales climbing to $3. 35 billion, a year-over-year gain of 26
This was driven by high adoption of WATCHMAN and FARAPULSE, a pulsed-field ablation system for cardiac rhythm disorders, amid market uncertainty
However, WATCHMAN, as a left atrial appendage closure device, captured more due to new regulatory indications and a growing trend of doctors performing the cedure alongside related cardiac ablations
Peripheral Interventions also contributed, posting steady gains with therapies for artery and vein conditions
Nevertheless, Within the MedSurg segment, revenue increased to $1, in today's financial world
Additionally, 72 billion, a 15. 7 % rise from a year prior
Nevertheless, The Urology group reported 28. 9 % reported growth due to prior acquisitions, though organic growth was slowed by supply chain disruptions, amid market uncertainty
Additionally, At the same time, Endoscopy ducts, which allow doctors to look inside the digestive tract and treat diseases with minimally invasive tools, gained 9
Neuromodulation devices, WaveWriter Alpha for pain and deep brain stimulation, also saw incremental growth, ing a slow start in earlier periods
However, management noted that supply constraints in Urology would continue through the rest of the year
Additionally, Regionally, U (remarkable data), considering recent developments
Sales showed the highest acceleration, up 30
On the other hand, 7 %, accounting for the majority of overall revenue growth
At the same time, International results were mixed
However, Europe, Middle East, and Africa (EMEA) saw only a 6 (an important development). 8 % lift; Asia–Pacific was stronger at 18 %, led by demand in Japan and China
However, China faces margin pressure from "volume-based pricing" initiatives that require suppliers to cut prices in government contracts, amid market uncertainty
Additionally, Supply chain headwinds and lower momentum in certain emerging were called out as operational risks for the company
Ducts, Acquisitions, and Re FocusBoston Scientific continued advancing its duct pipeline and several acquisitions
FARAPULSE, a pulsed field ablation system for treating atrial fibrillation, gained expanded U
Food and Drug Administration (FDA) apval to treat additional types of persistent heart rhythm irregularities, strengthening the company's electrophysiology (heart rhythm) franchise (noteworthy indeed) (something worth watching)
This analysis suggests that WATCHMAN FLX device secured a key regulatory "CE mark" in Europe, expanding its reach for stroke prevention, given current economic conditions
The data indicates that company closed two acquisitions this quarter, adding Intera Oncology (specializing in hepatic artery infusion pumps for targeted cancer therapy) and SoniVie Ltd, considering recent developments. (ultrasound-based device for treating hypertension through renal denervation cedures)
These bring new capabilities in high-growth therapy areas, with further potential as clinical trials gress and regulatory ances are secured
Integration is, and management highlighted the need for market adoption as a crucial factor for success, in today's market environment
Re and development expense ramped up to $526 million in the quarter, compared to $383 million a year ago
This investment supported new clinical trials and developmental work for key platforms, such as next-generation pulsed field ablation catheters and pipeline ducts in neuromodulation and oncology
Tariff costs are set to rise by $200 million for the full year, as U. –China trade actions take effect in the second half
Management intends to counter cost headwinds via revenue growth and targeted spending reductions (quite telling)
At the same time, No changes to the company's global manufacturing foot are currently planned, but margin expansion is expected to slow until tariffs are absorbed into operating expenses
Additionally, Looking Ahead: Guidance and Focus AreasFor the third quarter of fiscal 2025, leadership jects revenue growth of 17–19 % and organic growth of 12–14 % (fascinating analysis), given current economic conditions
GAAP EPS is guided to $0 (noteworthy indeed). 46 and adjusted EPS to $0
For the full year, Boston Scientific expects reported revenue growth of 18–19 %, organic sales growth of 14–15 %, GAAP EPS of $1. 93, and adjusted EPS of $2
Risks flagged by management include the scale and timing of tariff impacts, supply chain disruptions (mostly in Urology), and continued pricing pressures in China and other international
Capital allocation remains focused on strategic mergers and acquisitions, with integration and ramp of recent deals under close watch
Regulatory decisions for pipeline ducts, especially in the U. , will play a critical role in future revenue s
Furthermore, Boston Scientific does not currently pay a dividend
Revenue and net income presented using U (this bears monitoring)
However, Conversely, Generally accepted accounting principles (GAAP) unless otherwise noted
The Author JesterAI is our friendly Foolish AI, in today's financial world
It's based on a variety of Large Language Models (LLMs) and prietary Motley Fool systems to generate summaries of news
In contrast, The Motley Fool stands behind the work of our editorial team and JesterAI, and takes ultimate responsibility for the content of everything JesterAI duces, in today's market environment
Furthermore, JesterAI JesterAI is a Foolish AI, based on a variety of Large Language Models (LLMs) and prietary Motley Fool systems
In contrast, All published by JesterAI are reviewed by our editorial team, and The Motley Fool takes ultimate responsibility for the content of this article
On the other hand, JesterAI cannot own stocks and so it has no positions in any stocks mentioned, in today's market environment
Furthermore, The Motley Fool has no position in any of the stocks mentioned
Market analysis shows Motley Fool has a disclosure policy (something worth watching).
Related Articles
More insights from FinancialBooklet