2012 wasn't exactly a banner year for Boston Scientific ($BSX). The once-mighty devicemaker watched profits shrink as it backpedaled into job cuts and slashed budgets, struggling to deal with a 5% company-wide revenue decline. Cardiac rhythm management, its second largest business, took a huge hit, declining 8.6% on the year as demand for ICDs and pacemakers continued to shrink.
But CEO Mike Mahoney, still in his first 6 months on the job, says he sees a way forward. For starters, the device giant is slashing another 1,000 or so jobs in 2013 to get expenses down, but Mahoney believes the company's stable of up-and-coming devices will provide a jolt to flagging revenues, especially in the CRM department.
Headlining the future of the business is the S-ICD, a subcutaneous defibrillator that aids heart function without the need for a deeply invasive implantation. Boston Scientific acquired the technology in its $150 million buyout of Cameron Health last summer, and, after scoring FDA approval in September, the company is rolling out its novel device and looking to make up some sales ground.
Boston Scientific eyes a-fib indication for catheter
Boston Scientific kicks off trial for next-gen pacer leads
Boston Scientific aims for FDA approval with absorbable stent trial
Boston Scientific's sluggish financials meet diminished expectations