Zimmer Biomet (NYSE:ZBH) reported first-quarter results that came in ahead of Wall Street expectations, with gains in hip sales and stronger top-line performance. However, shares dropped more than 9% intra-day today on lowered guidance.
The medical device maker posted adjusted earnings of $1.81 per share, beating the $1.77 consensus. Revenue grew 1.1% year-over-year to $1.91 billion, slightly topping the $1.89 billion estimate.
Growth was supported by a 3.7% increase in U.S. hip sales, fueled by the success of new products like the Z1 Triple-Taper Femoral Hip System. Knee sales, however, showed more modest growth at 0.6%.
Looking ahead, Zimmer Biomet lowered its full-year adjusted earnings guidance to a range of $7.90 to $8.10 per share, below the $8.21 consensus. The revision reflects the financial impact of its recent acquisition of Paragon 28 and ongoing currency headwinds.
