Article from Siyu Medical Device Observation
With the aggravation of the aging of the global population and the growth of everyone's demand for health, the medical device industry has developed rapidly in recent years. I have compiled a list of medical device companies' 'earning power' based on the 2019 annual financial reports released by major medical device companies. Unsurprisingly, Medtronic is still number one.
I. Medtronic
Total revenue for 2019: $30.557 billion
Number of employees: 90,000
Medtronic was founded in the United States in 1949 as a medical supply repair store, and their first commercial product was a battery-powered wearable pacemaker. From its inception, Medtronic has focused on using technology to improve the treatment of disease. Today, Medtronic even claims that "every three seconds, a Medtronic product or therapy improves another life." Medtronic's business is divided into four main groups - Heart & Vascular, Minimally Invasive Therapies, Restorative Therapies, and Diabetes.
In 2019, Medtronic's overall performance maintained steady growth, with the restorative business therapies and diabetes businesses enjoying faster growth and contributing more significantly to performance. Medtronic started as a pacemaker business in its early days, but in order to secure technology leadership and break through the inherent ceiling attributes of the medical device segment, the company has made mergers and acquisitions (M&A) and integration a driving factor in its long-term growth in the decades since, and has eventually become a global diversified medical device giant.
II. Johnson & Johnson
2019 Revenue: $25.963 billion
Number of Employees: 132,200
Johnson & Johnson is the world's most integrated and broadly distributed manufacturer of health care products, health services provider, and its major businesses can be categorized into three major segments: pharmaceuticals, medical devices, and care products.
Sales for Johnson & Johnson's medical devices business segment were $26 billion in 2019, down about 3.8% from $27 billion in 2018. However, excluding the impact of acquisitions and divestitures, its sales increased by the same 3.9%, based primarily on steady double-digit quarterly growth in electrophysiologic implant products and products such as endoscopes, surgical anastomoses, and ACUVUE contact lenses. Traditional orthopedic and surgical instruments both experienced varying degrees of negative growth, particularly in the areas of spinal surgery and specialty surgical instruments, but these surgical instruments and orthopedic materials businesses are still the main sources of revenue at this time. The Asia-Pacific market for energy, suturing and other instruments for traditional surgery is in a period of rapid development, which is the main reason for ensuring the sales of such products.
Three, Abbott?
2019 Revenue: $19.952 billion
Employees: 107,000
Founded in 1888, Abbott has become one of the world's leading pharmaceutical and medical technology companies. Abbott manufactures a wide range of branded generic drugs, medical devices, diagnostic and nutritional products.In 1985, Abbott developed the first-ever HIV blood screening test.
In 2019, Abbott's diagnostics business accounted for 39%, +2.9% year-over-year; medical devices business accounted for 61%, +7.6% year-over-year; of which, electrophysiology business was +10.2% year-over-year, with strong growth led by cardiac diagnostic catheters, and ablation catheters; heart failure business was +19.1% year-over-year, driven by HeartMate 3?left ventricular assist device,; structural heart disease Heart failure business +19.1% year-over-year, driven by HeartMate 3? left ventricular assist device; structural heart disease business +12.9% year-over-year, driven by MitraClip? minimally invasive mitral regurgitation device; Rhythm management, coronary interventions and peripheral vascular interventions, and neuromodulation all trended downward; Diabetes business outperformed, +30.6% year-over-year, driven by the star product in diabetes care, Auxiliary "Instant Sense"-CGM system. -CGM System FreeStyle Libre.
Four,?GE Healthcare
2019 Revenue: $19.994 billion
Employees: 54,000
GE Healthcare did not complete its stand-alone operation in 2019, which was announced in June 2018, and currently remains part of one of the four GE Group segments.GE Healthcare is organized into four business lines: imaging, ultrasound, life care solutions, and enterprise digital solutions.2019 revenues of $19.942 billion, profit +5%.
V. Biddy