On April 23, 2014, Stryker Corp. reported a 77 percent drop in first-quarter net profit as higher expenses counterbalanced a 5 percent rise in sales. According to the manufacturer, last year, first quarter net earnings reached $304 million, or 79 cents per share. This year, Stryker announced earnings of $70 million, or 18 cents per share for the quarter.
The manufacturer attributed the decline to development and research expenses that reportedly rose 16 percent in the quarter, intangibles amortization that rose 41 percent and administrative and general expenses that increased 32 percent. Net sales increased 5.3 percent to reach $2.31 billion.
Excluding acquisition and product recall charges among other items, Stryker said it earned $1.06 per share, a 3 percent decrease from last year. However, the company reported that it still anticipates full-year sales growth in 2014 in the range of 4.5 to 6 percent, and Stryker allegedly adjusted earnings per share of $4.75 to $4.90, excluding amortization of intangible assets.
Stryker is currently facing lawsuits from plaintiffs across the U.S. alleging that its ABG II and Rejuvenate hip replacement devices caused serious and life-threatening complications, prompting the company to initiate a voluntary recall on July 6, 2012. The Stryker recalls included both hip implant systems and was announced after the company received post-market surveillance figures which indicated that the metal parts of the implants could cause injuries due to corrosion or fretting such as metal poisoning, inflammation, pain and difficulty walking, standing or moving the legs.
Following the Stryker recalls, plaintiffs have also allegedly suffered from early device, which often results in the need for revision or removal procedures to fix the problem. However, these additional surgeries are not always effective and may even cause additional injuries due to a greater chance of hip dislocation. The failed hip implants included in the Stryker recalls may also damage nerves, joints, bones and soft tissues and may increase the body’s sensitivity to metal.
Those who are currently living with a device included in the Stryker recalls should consider consulting with their healthcare provider regarding blood testing and cross sectional imaging to determine whether they are at risk for early device failure or metal poisoning. Patients who have been adversely affected by the Stryker recalls should strongly consider seeking legal counsel to learn more about their rights and recovering damages for their conditions.
Have You Been Affected by the Stryker Recalls?
If you or a loved one were fitted with the Stryker Rejuvenate or ABG II modular-neck hip stems, you may be eligible to seek compensation from the manufacturer for your injuries. To determine whether you have a claim, contact Attorney Group. We offer free case evaluations to assist those who have allegedly been injured by a product included in the Stryker recalls. We can connect you with an affiliated attorney who can handle your claim and assist you in seeking the compensation to which you may be entitled.