May 5 (Reuters) - Zimmer Biomet Holdings ( ZBH ) on
Monday lowered its full-year adjusted profit forecast, as the
medical device maker anticipates a hit from its recent
acquisition of Paragon 28, currency volatility, and
proposed tariffs.
Investors and analysts are closely monitoring how medical
device makers will handle any impact from the Trump
administration's tariffs and whether they expect benefits from
foreign currency fluctuations.
Earlier this year, Zimmer said that it would acquire medical
device firm Paragon 28 for $1.1 billion, to expand its portfolio
of orthopedic surgical devices.
Zimmer expects 2025 adjusted profit per share in the range
of $7.90 to $8.10, compared with its prior view of $8.15 to
$8.35 per share. Analysts were expecting annual profit of $8.19
per share, according to data compiled by LSEG.
The Warsaw, Indiana-based company expects currency swings to
have a negligible to marginally positive effect on its 2025
revenue, revising its initial forecast of a 1.5% to 2% negative
impact to a range of 0% to 0.5%.
Last week, peer Stryker Corp ( SYK ) reduced its 2025 profit
outlook and said it anticipated a $200 million tariff impact in
the year.
However, Zimmer's first-quarter profit and revenue both came
in slightly above expectations, due to strong demand for its
devices used in hip and knee procedures.
Combined sales at Zimmer's hips and knees units came in at
$1.29 billion, compared to $1.28 billion, a year ago.
On an adjusted basis, the company posted a profit of $1.81
per share for the quarter ended March 31, topping estimates of
$1.77 per share.
Zimmer's first-quarter revenue came in at $1.91 billion,
slightly ahead of estimates of $1.90 billion.