Boston Scientific Lowers Full-Year Outlook Amid Cyberattack Impact

10:55 AM EDT, 10/28/2026 (MT Newswires) -- Boston Scientific (BSX) lowered its full-year financial outlook amid the impact of a cybersecurity incident earlier this year, while the medical device maker's third-quarter earnings fell year over year. The company now expects full-year adjusted earnings of $3.16 to $3.18 per share and net sales growth of about 4.25%. It previously projected adjusted EPS of $3.28 to $3.32 and net sales growth of 5.5% to 6.5% for the year. Analysts in a FactSet survey are looking for EPS of $3.22 and revenue of $21.16 billion, which would indicate a year-over-year growth of 5.4%. Shares of the company were down 9.9% intraday, taking the stock's year-to-date losses to 57%. "Our (third-quarter) results were impacted by our previously reported cybersecurity incident, which we estimate reduced our sales growth by approximately 300 basis points and adjusted EPS by $0.07 in the quarter," Chief Executive Mike Mahoney said during an earnings conference call, according to a FactSet transcript. Last month, Boston Scientific flagged its inability to meet its near-term financial outlook amid a "material impact" from a recent cybersecurity incident. The incident, which the company identified on Aug. 25, affected some of its information technology systems and caused a network outage that impacted its ability to manufacture, process and ship customer orders. Boston Scientific has seen three estimate resets this year, Truist Securities said in a note, adding that the latest reduction may not yet get full credit as a "clearing event" among investors. The brokerage said Boston Scientific's stock could recover in the second half of 2027 and into 2028 if the company can demonstrate that growth is accelerating again. For the September quarter, adjusted EPS fell to $0.73 from $0.75 a year earlier, slightly ahead of the consensus of $0.72 but below the company's guidance of $0.80 to $0.82. Net sales rose 1.5% to $5.14 billion, which exceeded analysts' $5.06 billion estimate. The impact from the cyberattack is expected to persist in the current quarter, Mahoney said. "We anticipate that it will be a 200 basis points or 300 basis points of impact from the cyber incident as we work through elevated customer orders at the end of (the third quarter) to replenish inventory levels," he told analysts. For the December quarter, Boston Scientific expects adjusted EPS of $0.77 to $0.79 and net sales to decline by 1% to 3% year over year. Analysts are looking for EPS of $0.83 and revenue growth of 2.6% to $5.42 billion. Third-quarter sales in the cardiovascular business increased 1.9% year over year to $3.41 billion. The MedSurg division delivered a 0.6% growth to $1.73 billion, as a double-digit gain in neuromodulation was offset by weakness in urology and endoscopy. "We anticipate continued top line pressure into 2027, which we expect will make it challenging to grow revenue and adjusted earnings per share, excluding Penumbra," Chief Financial Officer Jonathan Monson told analysts. Earlier this year, Boston Scientific agreed to acquire medical device company Penumbra (PEN) in a cash-and-stock deal with an enterprise value of about $14.5 billion in a bid to strengthen its cardiovascular portfolio. "We expect our underlying business dynamics in (the ongoing quarter) to persist into 2027, and believe our fourth quarter guidance provides a reasonable baseline for next year's revenue and adjusted earnings per share outlook," Monson said. Johnson & Johnson (JNJ) recently raised its full-year outlook even though the upgraded midpoints missed Wall Street's estimates. Price: 42.04, Change: -3.02, Percent Change: -6.70