UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) April 16, 2003
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ST. JUDE MEDICAL, INC.
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(Exact name of registrant as specified in its chapter)
Minnesota 0-8672 41-1276891
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) ile Number) Identification No.)
One Lillehei Plaza, St. Paul, MN 55117
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (651) 483-2000
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Not applicable
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(Former name or former address, if changed since last report)
Item 9. Regulation FD Disclosure.
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St. Jude Medical hosted a conference call with the investment community on April
16, 2003. During the conference call, the Company provided the following sales
outlook by product category for the second quarter of 2003 and the full year
2003, which include the impact of the acquisition of the Company's largest
distributor in Japan, Getz Bros., effective April 1, 2003:
Sales Expectation Range For:
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(AMOUNTS IN MILLIONS OF DOLLARS)
Product Category The Second Quarter of 2003 The Full Year 2003
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CARDIAC RHYTHM MANAGEMENT
ICDS $ 110-115 $ 425-440
PACEMAKERS 203-208 800-825
EP CATHETERS 28-33 120-130
CARDIOLOGY AND VASCULAR ACCESS
VASCULAR SEALING DEVICES 48-53 195-205
OTHER CARDIOLOGY & VASCULAR
ACCESS PRODUCTS 20-25 80-90
CARDIAC SURGERY PRODUCTS 70-75 275-280
During the conference call, the Company also stated its expectations for the
full year 2003 regarding certain line items of the consolidated income statement
expressed as a percentage of net sales:
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| Gross Profit Margin | 68.5 - 69.0% |
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| SG&A | 32.5 - 33.0% |
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| R&D | 12.5 - 13.5% |
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Finally, during the conference call the Company made the following comments
regarding its outlook for Earnings per Share:
"In preparing our EPS guidance, we have assumed that in second quarter of 2003
the share count used in our fully-diluted EPS calculation will be about 189
million shares and by the fourth quarter of 2003 it will be about 193 million
shares with the weighted average outstanding shares for the full year 2003 at
190 million.
The previously disclosed acquisition of St. Jude Medical's largest distributor
in Japan, Getz Bros., closed on April 1, 2003. The Company anticipates absorbing
the higher cost of goods sold associated with the Getz acquisition accounting in
the second quarter of 2003. Including the
absorption of this higher cost of goods sold, the Company expects consolidated
EPS for the second quarter to be in the range of $0.41 - $0.43.
For the second half of 2003, the higher cost of goods sold arising from the
acquisition of Getz will moderate. For the full year 2003, the Company expects
this acquisition will be neutral to EPS. The Company expects consolidated EPS
for the full year 2003 to be in the range of $1.75 to $1.80.
All of the above sales and EPS expectations assume the Euro/U.S. dollar and
Yen/U.S. dollar exchange rates remain at current levels where each Euro
translates into $1.06 U.S. dollar and every 120 Yen translates into $1.00 U.S.
dollar."
Any statements made regarding the Company's anticipated product approvals,
sales, expenses and earnings are forward-looking statements which are subject to
risks and uncertainties, such as those described in the Financial Report section
of the Company's Annual Report to Shareholders for the fiscal year ended
December 31, 2002 (see pages 6-8). Actual results may differ materially from
anticipated results.
SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ST. JUDE MEDICAL, INC.
Date: April 16, 2003 By: /s/ Kevin T. O'Malley
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Kevin T. O'Malley
Vice President and
General Counsel