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Zimmer Biomet raises annual profit forecast on strong demand for medical devices
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Zimmer Biomet raises annual profit forecast on strong demand for medical devices
Aug 7, 2025 5:37 AM

Aug 7 (Reuters) - Zimmer Biomet Holdings ( ZBH ) raised

its full-year adjusted profit forecast and beat second-quarter

earnings expectations on Thursday, bolstered by accelerating

demand for its hip and knee implants.

Medical device makers have benefited from a surge in demand

as more people, particularly older Americans, sought health care

services and surgical procedures. The demographic shift toward

an aging population continues to fuel robust procedure volumes

across orthopedic specialties.

Zimmer expects 2025 adjusted profit per share in the range

of $8.10 to $8.30, up from its prior view of $7.90 to $8.10 per

share. Analysts were expecting $7.97 per share, according to

data compiled by LSEG.

"Our robust new product cycle drove significant acceleration

in our U.S. hips and knees portfolios and continued strong

growth in our global S.E.T. (sports medicine, extremities, and

trauma) business," CEO Ivan Tornos said.

The company attributed its performance to early customer

adoption of its new product portfolio, including advancements in

surgical robotics.

Combined sales at Zimmer's hips and knees units came in at

$1.36 billion during the quarter ended June 30, compared with

$1.31 billion a year ago.

Sales at its unit that sells sports medicine and trauma care

products climbed 17.3% to $550.6 million, while analysts

estimated $534 million.

It posted an adjusted profit of $2.07 per share, topping

estimates of $1.98 per share. Its second-quarter revenue came in

at $2.08 billion, also above expectations of $2.05 billion.

Zimmer said it expects 2025 revenue growth of 6.7% to 7.7%,

from its prior 5.7% to 8.2% forecast.

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