SYK - Earnings call transcript Q4 2020

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Operator

Welcome to the Fourth Quarter 2020 Stryker Earnings Call. My name is David, and I will be your operator for today's call. At this time, all participants are in a listen-only mode. [Operator Instructions] This conference call is being recorded for replay purposes.

Before we begin, I would like to remind you that the discussions during this conference call will include forward-looking statements. actual most differ SEC. recent cause in are could company's the filings that results materially to discussed Factors with the the certain include discussions measures. Also, non-GAAP financial will be directly an is to with Stryker's Form financial Reconciliations the release on exhibit comparable report filed the today's press most measures to can X-K found current SEC. in that GAAP today I will now turn the call over to Mr. Chief Executive Officer. and Chairman Lobo, Kevin

proceed, You sir may

Kevin Lobo

fourth Stryker's to quarter Welcome earnings call.

of Boehnlein, Stryker's CFO; Preston Investor Joining Relations. today President are Glenn me Wells, and Vice

by opening provide challenges they on opening through support around we I'll regarding continuing For followed and by most my comments by would surgeons update call, today's we results, Glenn expressing the that details an maintained with comments, while Q&A. caregivers my I Throughout provide shown employees, like the the high work our our appreciation before the Preston, many to our to quarterly additional during and environment perseverance for to XXXX. current faced call engagement will year, world. start recent employee as acquisitions. the the then

sales capital quarter by procedures declined continuation strong emergent X%, our impact of reflecting organic a infections, resurgence of fourth Our and by performance offset products. the of large COVID-XX roughly

$X.XX the And exceeded from impressive Preston the the quarter, shortly. approximately which instituted discipline provide combined flow $X We we at integration share the an favorable market. maintained earnings tax category during year. some the the within a gain operations, segment the billion rate Wright are leadership up we additional with of on Throughout in about will also the to the excited which, closing XXXX. orthopedics adjusted the cash we that deal for pandemic, updates versus Medical the quarter led and full quarter, per XX% delivered the beginning of financial in fastest-growing

the will to future we Wright also that areas Medical provide progress growth in addition many opportunities. acquisition, closing In made

ecosystem, We focused to significant including innovation MedSurg introductions digital, technology, our business a approvals Mako. including on where structure established and our have digital robotics and we product across we enabling see where commitment across create maintained to unified continued opportunity segment, a We various in and flow our drive we aspiration, a retrievers where stents. prevention. diverting new focus on And product units, stent with safety Neurovascular, company-wide gained

demand launched ASC the our successfully outpatient Stryker solutions model, end-to-end setting. the to we leverages provide Finally, growing portfolio which and sales to meet to shifts the

well pandemic our support continued customers us eventually for as growth innovation position our Our subsides. the will for and commitment to

XXXX, care Preston. execution deliver will Turning and that, and will people sales of growth to to our culture remain better make commitment to call the turn now to our over earnings. customary our health strong I organic resume which allow and leverage to strong, With on us

Preston Wells

My comments and provide impacts Thanks our update the today on Medical to Kevin. on Wright current most latest COVID-XX an and acquisitions of the will recent related environment, OrthoSensor. trends updates

December. in quarter, localized of negatively hospitalization rates the the through as During surged most and infection pressured regions procedures fourth elective were month globally

was driven The procedural in Western in growth the the and each Most the in over lockdown. including which the the variability, pandemic the double-digits areas Europe. correlated markets, state uneven China, region. growth notably, quarter. of countries a with the we result, a include to prior United As year grew many and most Even emerging countrywide Kingdom, U.S. impacted of by saw

until XX% deferrable the the become working delayed, distribution we to better are resurgence have businesses, continue of hospitals first XX% on expect procedures procedures will elective had up bring our in impact elective to and procedures the more they rates though decline been prevalent. forward, but more a sales. and approximately negative back slowdown the this begin that of the our to infection vaccines which total handle Looking variability This to through equipped quarter are of make

quarter manage level the COVID elective impactful were Mako experienced while our decline as and hospitals this overall patients, maintaining slowdown quarter to the Despite was of as Neurovascular, However, not slowdown, surgeries. growth Medical, upper extremities the in some equipped second we continued better in the as businesses.

the for power demand for the expanding U.S. products by CARES quarter, continued some the Act costs Medical's Specifically, the focus funding availability care and capital products need fourth large in remaining device like emergency on capacity, LUCAS the our driven the and in of bed

positive the XXXX. early addition, to into and the In on continue trends our are expected ProCuity new of launch

During milestone, teaching installed robots the sold institutions, the exceeded by highlight growth and selling in fourth to demand continues technology, for and ASCs in installed installing XXX accounts. Mako robots base differentiated as the ongoing This grew our XX% another and robotic major our well year, our as at and success Mako with over competitive quarter.

XX% of procedures. knees trend our fourth shift increase. Russia cementless China, the U.S. to in provide the also which and knee these continue about cementless are all approximately embrace recent U.S. And We The of as for total make continues our fourth towards growth for quarter, technologies will and Mako to robotic, approvals digital XX% also excited the needs that In quarter, opportunities a procedures. enabling knee needs TKA markets to Brazil, in made Turning our knee continued. procedures, up

During to surgeons deferrals. procedures joint and the perform from by restricted to trialing pointed like limited businesses of competitive products surgeons as cancellations has feedback worked pandemic, replacement, and

the our Mako return normal heading into expect However, book year to XXXX. installations market, we continue the order as to we pandemic subsides environment, by to outpace strong the a and and throughout more driven our

was and and to enthusiastic and the period diverse to that the extremities upper over that Wright's well enhances months. ability in also have last customers' foot years used has To Wright experience. long progressing moving to ankle the category progress been patient focused the more and been plans structure quickly Considerable been biologics Stryker business as acquisition part U.S., were drive is few close combination extremities our continue planned. business made, units ensure close through the teams to sales year. the be forces leadership will the billion throughout integration technologies. on has The Trauma, the alignment our U.S. first our leveraging about of specialized The leadership extremities the overall both and customer. us and including sales the and needs the specialized of The market. innovation across to and of creation date, will during to appropriate which deal organization. the in Wright the the Medical we portfolio ankle, of implants, that is are place, leadership signed upper address than $X The Outside of We team for of integration gain decentralized enabling to to from combined quarter align align allows new a rollout key and forces territories remain units strategy these the full for organizational and been announced working three has sales finalized foot

executing activities. disruption teams day-to-day And drive quarter, are the integration caused there was to closing while sales continuing and minimal the integration Our business. by the during

the sensor in devices including and for M&A, by our innovate to the us smart our role Finally, to technologies, to demonstrated and technology Smart OrthoSensor which wearables commitment implants important and and leader of joint musculoskeletal recently most an care sensors, to a will OrthoSensor, continue digital acquisition ongoing smart addition replacement. and I of evolution of restate was of implants. allow in sensor intraoperative will play advanced the future ultimately, orthopedics want

each sales, guidance Glenn for As annual now that, an update operating on if margin quarter our the guidance, it I'll relates be full-year throughout call provide over Glenn. Updates made year. this turn to will the necessary will to to and EPS. XXXX With guidance

Glenn Boehnlein

financial and my the I related fourth our quarter Today, comments results drivers. Thanks, on Preston. will focus

Our in today's detailed release. provided financial results have press been

Our quarter. X.X% organic was sales in decline the

Pricing As in as continued a was of while included Early a sales. from the impact was the favorable quarter momentum days currency X.X% year, from this quarter, unfavorable XXXX. the number same X.X% prior in quarter selling there foreign on QX. had the reminder, QX

the of procedures, resurgence and our primarily in the significantly during Europe impact However, COVID-XX and of sales the November, related of the U.S. cancellations momentum. impacted

did products. we and we beds our medical However, products demand had strong see care as capital certain continue Mako, for emergency in results

For was by decline primarily the had slowdown year of products. had impact in for in decline the organic mostly the Brazil. and U.S. sales. of decline an selling an a Organic XXXX X.X%. year, sales International on XXXX and the X.X%, X.X% were offset demand offset international resurgence for X.X%, sales by which and for in by to China organic compared a the elective day one strong result pandemic, with growth Canada, additional of was as impacted somewhat COVID-XX and price flat, unfavorable sales reflecting procedures declined pandemic the quarter, Mako, the Neurovascular U.S. Medical products of Europe, X.X%

of expense control EPS increased $X.XX operating quarterly prior year, and operational favorable XX.X% the tax rate. good a reflecting adjusted financial from discipline, Our strong

fourth positively by EPS currency. Our foreign quarter $X.XX was from impacted

facilities EPS strong as the full-year of well of the QX, certain is impact especially of decline was year, year. which Our the reflecting the by in as throughout XX%, a offset during $X.XX, lower sales, idling expense impact manufacturing discipline

as somewhat business demand reflects robotic in sales trauma segment stronger growth platform, in U.S. products. our reflects organic bone very also This constant organic slowdown related prior cement. organically, decline was and including COVID-XX was and had elective Canada. QX U.S. Extremities provide Australia the and by & by growth primarily growth X.X%, year sales procedural our declines declined which highlights currency COVID-XX a offset procedures XX.X% the decline also Internationally, of The of I This XXXX some by ortho Now, Orthopaedics our of comparable core X.X%. especially for strong Orthopaedics X.X% reflecting led performance. strong X.X% related performances Trauma delivered grew a positive in X% in will in slowdown, around in Mako Europe. an offset to and organic Other U.S., an the partially shoulder

successfully the the was closed. quarter, During Medical acquisition Wright

slowdown quarter. The by slowdown primarily at care, shoulder, the the sales reflecting had quarter, deferrals, decline and solid Sage quarter, in the year, neuro-powered had strong reflects delivered related especially medicine growth growth and X% organic comparable X.X%, businesses, in waste sales organic basis a capital of performances service growth in Australia. of the the across gains and business. comparable sports instruments by Neurotech in and of quarter. division by X.X% and U.S. had as drill, which power many over by care of businesses. driven a of in ankle, general This patient Spine offset In led Neurovascular, and the including growth in second U.S. Wright Medical performances decline mainly For in U.S. Instruments growth business, Endoscopy constant the Internationally, as our of and basis. impacted endoscopy was Neurotechnology the flat currency performances In growth the positive This smoke included its grew well a in by reflecting on and X%, currency in growth had offset product decline, the MedSurg constant U.S. X.X% sales had strong and driven sales of management X.X%, quarter, products in geographies. double-digit full within the slowdown growth the had line, On in impact organic had which evacuation X.X%, growth growth strong by X.X%. businesses U.S. procedural an its a U.S. organic organic X.X%. organic tool, gains most the emergency Wright COVID-XX a for included SONOPET XX.X% comparables MedSurg international growth of U.S.

procedural organic Neurotech had as Neurotechnology in X.X%, business an decline impacted This strong demand and U.S. China. organic Japan Internationally, driven and growth deferrals in of performance posted quarter. was by Spine the of Australia, sales XX.X%. Our

will operating highlights the in quarter. I Now, on fourth focus

was spending basis and quarter. XX.X% prior with by of Our XXX primarily and Compared from year in foreign the price, This of margin by adjusted Adjusted demand during cost year line business reduced the was quarter. as offset fixed margin brought production X.X% was prior approximately points dilution exchange. was to sales. unabsorbed gross was the R&D quarter, impacted acquisitions gross mix unfavorable,

Our the This saw our we place adjusted operating favorable which SG&A the continued the income basis points and - to was have on was Medical the acquisition. disciplined Related outstanding prior been sales, quarter, points. as year improvement a controls, to expense to focus which of the related XX.X% a other XXX expense on basis quarter reflects in XX.X% quarter the Wright of year These prior quarter. our and funding of of and hiring, our over discretionary for which summary, including is compared quarter, in and operating deposits the of expense travel, XX meetings discipline spending previously interest cover impact year decline the to adjusted In debt since the was consultants. margin in sales, curtailments spending, second in most prior related to related the reflects to investment other earned income increases increases discussed. by

an had quarter of tax fourth adjusted Our rate X%. effective

due full-year in of losses Our reflect sales foreign foreign tax year. rates the a with the U.S. reduced with income arose XX.X%. fluctuations combined pandemic, of lower from that the end to rate was activity, at mix manufacturing drop sharp effective related that one-time These operational to the resulted sourced

the and of to expect normalized For circumstances our XXXX, we these we rate during be range return tax in we as arising, do not to effective expect XX.X% the anticipate full-year XX.X%. to year operations to

ended marketable we $X debt $XX total the with and of sheet, balance cash the on securities of year and billion billion. Focusing

quarter, the convertible retirement the of the inclusive which of disbursement acquisition, Wright's we Medical of $X.X Wright in executed billion, resulted debt. During the

to flow. Turning cash

cash approximately management, year-to-date by billion. earnings. somewhat This historically offset working lower was Our disciplined performance from operations the capital $X.X from resulted strong

to Turning XXXX. for flow cash

approximately shares guidance repurchasing on conversion free of basis will will Medical. we businesses, a one we that from expenditures XXXX as including And year legacy normalized in Anticipating flow the be percent a any net XXXX excluding the and to and standalone I of the more Medical expect now, anticipate Wright million. and ramping our of Wright rate $XXX We be integration earnings, XX% a further adjusted not the in - impacts will guidance cash investment XX%. provide one-time a capital including

the We it to throughout given are providing XXXX, is normal comparison our guidance XXXX. in as variability baseline a more

part will we update organic calls. indicated, will Preston as this annual regular earnings an of the providing guidance year throughout earnings our As be sales and and on growth

geography of we into that recovery continue quarter region environment, of we based second the the operating As assess and procedures variable the on believe continue and be current will ramp elective to XXXX. will

of Given sales range to growth for compared this variability, X% expect to we XXXX to the XXXX. year full XX% organic in when be the

XXXX, XXXX continued less are excludes organic with reference, days experienced pricing to As growth environment would in a Medical. Wright of in compared same approximately selling X%. XXXX. one XXXX our we price comparing XXXX the the reductions number sales when Consistent to expect unfavorable There and and both of

of XXXX Additionally, current as and we exchange are includes guidance XXXX impacted will reductions. rates organic hold EPS comparing as favorably be growth and to price sales The foreign levels, XXXX. to growth XXXX, years two modestly compared our near we anticipate sales

Medical For XXXX, dilution a expansion operating the the of expect result Wright full deliver op year as we margin margin not to acquisition. of the did

expansion hiring, XXXX. and business for operating continue anticipate dilutive Stryker in to that do future basis the back levels. excluding Wright, ramp normalized more growth as increases XXXX to and compared discretionary expenses However, expansion of we support of points impact XX costs our XX margin in to our from legacy other includes to anticipated businesses business This

XXXX, includes diluted to net the the by range to adjusted in per share previously expect year. driven announced we full for for the $X.XX the year. Wright business $X.XX of the earnings $X.XX addition Medical be full the of for This dilution, Finally,

While XXXX. be is XXXX, in we expect accretive dilutive starting in Wright to it Medical

and our Division. synergies by business trauma which XXXX. digits compared the is trauma with partially all integration Wright in integration from activities As by for in extremities impacted COVID-XX, of mid growth Medical, includes Wright comparable in to Stry's Medical, from extremities it part XXXX. expect will This to of of extremity relates the the aspects the we other low legacy This to offset single when be to the XXXX be recovery growth and

reiterate synergies three previous also cost I to Q&A. next now guidance We our $XXX will And saving approximately call the $XXX up open million on million from the deal the of for years. over

Operator

with Evercore. [Operator question comes Vijay Kumar first Instructions] the line of Your from

proceed. may You

Vijay Kumar

for Medical queue high growth what the I start here. the to off on guys, 'XX? maybe nine here for for Hi guess we organic here business, on Eight the assuming our Hello? question fiscal in Wright for congrats are guidance - base level a

Glenn Boehnlein

Vijay. hi, Yes,

Sorry I mute. was on

is X% have the integrated you Trauma that Extremities Wright we to organic XX% to to into Our our and Medical, guidance being understand that guidance related it's provided businesses.

and combining with legacy will in that of division. Medical combined part So we be Wright our running business group extremities as Trauma Extremities our

we when synergies mind be in but Medical will expect think XXXX. at bit So single into and as all to digits, happen you and XXXX, fully we extremities in trauma compared that will account in mix will to together that low for that keep sales look be growth you really it also what do takes XXXX Wright to

Vijay Kumar

range little if - in the and low cash. high-end, and look What on impressive. the point that's high versus a maybe the the perhaps OpEx margins on at one basis could, within if I you The if what the in I EPS just coming the the I swing cause mean low I little the side, look at here, XXX lighter the Glenn, range, Stryker bit And the really guidance goes guidance off a quick typical end talk at will. it's perhaps a seems was would end and conservative, margin QX one guidance end? in about it almost

Glenn Boehnlein

experience you variability our that tell Yeah and it's some to we on based QX. variability happened this expect year - fully We to Vijay, in on saw that operations. into I would what the continue

comes reflects range guidance back. really ramp our how that so And

through the On the low end it all could QX. be way

depending the to at you keep on op it, have legacy the much if hiring, our end, go really name basis to draconian you or improvement but business pretty mind to the of consultants, look QX And that. with is put front it QX. lid on expense XX XX expenses back as at - improvement you I in QX, it discretionary in in margin and see Stryker variable better start really travel, the meetings, passed we towards we look mean, control we beginning On be more going can terms even and on that. reflected really points

So especially prototypes pick we sales to expenses. high start to continue and grow those to all our to that as we about add pools, if as device, our that's hire the start as supplement with we end so aspirations med you and to as sustainable, seeing - spending think meet up our of loaner we will at our we customers, forces, things will add not

guidance. So really the what's underlying that's

Operator

Your next question comes from of the line Bank with Bob Hopkins of America.

may proceed. You

Bob Hopkins

just you're quick quarter, that the two the like So Wright but side, pretty actually clarify impressive. things. just which on guiding that growth, revenue was Glenn, to to flat organic is appreciate I in guidance sounds Medical

So, and getting $XX billion for billion $X a come of just the just year, kind billion. bit on little organic, guidance then to of over Medical, to I Wright $XX to for over million little $XXX on taking a X% XX% I'm out your based and

thought was wondering, in you was that ballpark. if I So the

Glenn Boehnlein

exactly point do time we some in we're to going feel we're seeing. like in variability is can't sort that's I this we there to sitting and seeing can't I of took adding think QX X% XX% we're range numbers, so again be maybe where Bob, because if obvious we and forecast Yes, reiterate that what of will, the variability just up and set you at that the the

QX will with naturally that have We that came as they and Spine also of we and and once but we Medical. performance we same looking Wright just feel why, subject pleased Wright extremities, some a we will where variability, with that integrate that with out, KX lot felt is we're were As are trauma to Medical synergies far occur. the their with sales, the goes, which pretty it

that X% Trauma Stryker into the for taking look and you're for mid low So legacy Wright really variability, we and to at combined to digits looking & XX% as account - the Extremities. single at

Bob Hopkins

would you, far perspective as macro for kind curious state there where to are environment just quickly the right seeing your love of what of willingness of to so the out procedure just Kevin, an current you're given get on terms now. we seeing volatile capital, then kind of in updates buy as you're hospitals business what And growth, now, the right just on

would that helpful. think you. Thank I be

Kevin Lobo

the we Thanks, certainly off say, end that pretty that got discretionary October, big pretty Bob, at start Yes. a really the it I after good procedures, and second the year, month did, and to of tail slowdown you would spiking wave a certainly of saw in really November-December.

we're front, actually On the large excited. capital very

from continuing strong. experienced what QX, we book order very QX and through So to is standpoint be QX an

good So really news it's for news, Medical. it's is news Mako, good good for that

the as being be soon confident - that's vaccines to the of a become side, it that to pretty bit, mean, why going certainly where soon organic, orders that turn little year. same more the throughout think pretty they feel enough On hospitals confidence will take back really these procedures said that the you certainly the division, to to those discretionary tends way. a and certainly year always that the come so a starts the we saw healthy able give going ready instruments around start division whole pretty to being I are in But, starting a back longer we've we half they'll have good as will agile, And lag so guide news we to do on is the small to and I quickly I procedures to XX% little prevalent. maybe - But off capital the that recovery a and - endoscopy as we in as a the it of subside, with overall, would QX. and have slower X% say obviously the with pandemic spike now 'XX within

things if getting discretionary saw little in spike bit, started QX healthy. drag once pretty big we even procedures a the So a

little it's in we maybe QX. little course in that believe that the of we're and will maybe hoping the year, guidance, be QX sustain able over a even the softer stronger So if and to

Operator

Morgan the line with of from David comes question Lewis Stanley. next Your

may proceed. You

David Lewis

question. thanks for the afternoon, Good taking and

guys over revenue kind the right? growth, guidance. higher, last to 'XX quick a from the minus XX% growth Medical. little of Kevin, growth and sort than me But basically what me. guide, kind couple earnings a The comparing guidance two I is the of earnings you of interesting The guidance. Just earnings is was it's ones earnings doing to revenue X% little are is Wright of years the XX% better that

it's I growth your would the be rate, a probably lot above just recovery. but So think structural argue some of should given

So X% about what how to number, of XX% rate of Kevin, that? some October growth here we are that to relative should out structural follow-up Or a interpret how think the I of do structural factors have And And growth 'XX? as underpinning come rate? the key Stryker the quick we you

Kevin Lobo

Sure, have mean a getting single the feel continue macro you growth. right the to we every into as and is would without offense to what comment I strong division, just in give continue we the that David. I market win

And our of an are There are It to unfolds think muscle guide. assumed our us years, dilutive organic there. with In acquisition. You see we've pipeline business. XXXX, that we is that very confidence the Medical highly has X% was dis-synergies and saw a We'll Wright organic obviously that the the continue in normal in course overall. that's over position expect, big product and that have by feel how on fully we culminated positioned a what we've Clearly, will into operation gives There acquisition what, that all the year. early like their in of the I straight other that, over accelerated integration. grower have we're KXM with some we our we companies structure we very frankly, that experienced divisions, implant have, to in growth. us be units, but improvements with business healthy are but signs based growth seven new experienced our just we that integration The the for expect what put have differences and the we there of we positive, XXXX. developed, above-market

David Lewis

and to Kevin, system has here. robotic very your the we that your on all? is competitor I XX% your changed reason quickly at strong any XX% to placements know cementless, momentum All mean very just of or going lot darn to during to to of pretty COVID. a from have in Any relative lastly different? is are 'XX competitiveness. environment relative just But then after very, pretty, momentum positioning believe versus results And look knees you robotic sort is Ortho reason believe other one went and I peers invisible. kind go share that

Kevin Lobo

No, our remain out joint is replacement Mako many bullish very we you increase And we the been Mako. almost two that being To have well remarkable. the as pretty as of Yes. it's since just knees saw launched in done and one Mako not about system. business on years

hips, installations we're past, and installed was software new the to in increase So continue that had accounts in even obviously but of navigation QX. And continue unlike XXX in the which type never as strong, hip utilization. only seeing not of we well robots, this an uptick, about to have

But taken because actually that steam year So, into in earlier will be us upgrades. but it's XXXX. we obviously, go do had to able of up the approval, the again the pick the time pandemic, and to

one world, whether pandemic it's strength negative where on at something again, not a too it's So in looking or regional a It's quarter, concerned is. I positive just about am your it. based

then doing happen procedures, you If or got in be and that's do, that benefit a to didn't hurts. a locality you state if you

with it's shape I that we're So structurally, the little but business. during great random think a pandemic, in bit

Operator

of Wells with from Larry the line question Fargo. comes next Biegelsen You

may You proceed.

Shagun Singh

you And that with in space This implant on remote and patient could OrthoSensor. a soft really timing smart how if monitoring could a you implants, for are the acquisition And tissue with more given of your be launch wanted several comment for then technology, also Thank are the much. Kevin, How so thinking Shagun had you years more. one balancing? Larry. in share? marks entry would much you've sensor knees the also And I timing about now, on to integration launch application beyond into into for Why with in squeeze you then technology I about timelines Anything and hips? timing you. of here. could way. was And Thank meaningful and you smart Yeah, great. acquisition the of wondering Mako? them I is any if touch the shoulders on the sensor thinking relationship

Preston Wells

this is Preston. Yes. Shagun,

terms at it. right we make of opportunities the do with just in what was I itself, are again, we time in we Just team of with the mean, the looking to terms the it acquisition deal constantly able to of this and timing were different thought

think just timing happened targets for typically at do we the the time. that So, of period our work just it look a long of out to And I it did. way

In we're timelines to this timelines. market, be about point, we're when to things of at to ready of disclose the going some terms different those other not bringing

the be Just to that around technology. have know guys. to And that as develop time sensor getting - robust bringing teams that pipeline more we certainly me, pretty information, you work, are excuse we'll robust to

Operator

Your next with Robbie the JPMorgan. of question comes from Marcus line

proceed may You

Robert Marcus

year is of half the of you're for there procedures about system later what patients How in need end could should next and I and of that limitations can potential bolus didn't to that the there realized is there XXXX. think year, XXXX lot hoping this be Kevin, but probably to we a as do, treated. patients? the you were into about I still patients first was of thinking on, lot getting comment up

as organization? an you how about thinking that So are

Preston Wells

it's I'll that Preston. take Robbie, one.

fourth backlog, recovery happening of the In of being that we some down certainly quarter saw worked third in then, as that starting we terms deferrals the in we more the saw saw quarter. to And happen. patient certainly,

saw backlog. to You added people back more being that

happening the see and that patients both deferring months to include recovery we some expect or XXXX, the have from months three articulated, we to so. in see of backlog Glenn anywhere recovery that now of as would been Kevin six As

And so to back through that flowing the some we would numbers expect of see into XXXX.

aspects I is and capacity the necessarily spike one like give numbers, that. I you in around those see just we dramatic won't certain a think things caveat would given

backlog. won't certainly in to time spike see So, point working as dramatic and the hospitals result a at still fit we additional same But quarter. third surgeons surgeries and a of you you that significant will in see things saw any one in

Robert Marcus

Great. Neurovascular. in the COVID, more at to days in you hoping And one were back on maybe least before that XXXX. just I in accelerate remember XXXX, old question business

us was could launches. have and on I you're how the where product new Thanks. thinking just launches some hoping new going had to give you update You that product in XXXX business? about you're

Preston Wells

Robbie. Yes. Thanks,

all, product growth a third and the second of just fourth the out. quarter. really the They affected products, obviously of had introductions. else quarter, exciting into the XX in everybody Aspiration, growth catheter Neurovascular Obviously They Vecta were but we the portfolio in quarter double-digit had double-digit fourth extremely terrific year. quarter, in new like First have with

this well. stent They're flow United the stent, pump. doing Surpass We have very in we approved diverting Then States, have the the flow second-generation the diverting Evolve.

We in have flow in China, used is Atlas approved first-generation diverting which the segment. hemorrhagic stent our stent,

adjunctive doing extremely is stent Our China. in well

as well the generation So, next we stent we really the retriever portfolio. And recently launched. have have NXT, great a

pipeline This management They team since, healthy a products new launches. been have very well. other we coming place So, They've in the of outstanding. is business. as lot frankly, truly a acquired of

be So, ended I'm Neurovascular very, business. momentum, the to we'll We very continue great years expect year on come. performer in strong to the and I with a bullish very the

Operator

of from with next may Your Deutsche Pito And question proceed. comes Chickering the line Bank.

Pito Chickering

are And rate? run us chance Is procedures the part versus EPS give time, some normal some questions. your you about January. earnings XX% quarterly cadence that - quick still question quarter. in that for guidance you. you on there understanding, you can Thank seeing get And taking quarter my annual first guys. because normally, afternoon, One I in but providing guidance any at not in are you you deferrable the of Good first this pressures

Kevin Lobo

on just would quarter in - I a out hospitalization decline lot you pretty the really I Pito, is coming out prevalent. in more right? and fourth period, Yes. into mean, infection we tell rates - there quarter. and normal still localized run to over variable first vaccine trends the rate of saw depend how A continuing going think that and is and of some this time the and we're how those certainly the I not we're it's

this that's on At much give the what that's recovery see to at, - that will wider think going guidance look guide point, about too I think we continue as why to to would that trend I be be. And how So, recovery that's is really exactly that you hard you provided. to what going happen. it too we

Pito Chickering

And to or on seen also, to their push you reimbursements either space change or hospitals procedures adapt purchasing in capacity lower - have follow-up, begin up as in more ASCs. our systems, plans to for to and back COVID buy to are the habits cheaper the moving the into the due pricing ASCs free

Kevin Lobo

this not changes at all. time, not Yes habits - in significant that any seen have those we in at

Operator

the of from Wuensch question next with Your Citi. comes Joanne line

may You proceed.

Matt Hendrickson

for This is Hendrickson in Matt Joanne.

just have received New you quarter, Zimmer out coming FDA knee their full approval, around swing robot. and systems, and question momentum is First of is Mako Year. great J&J in also, guys a in we great had the with They Velys is robotic launch. kind But their

any together. kind plans the in your So out putting technology market? as have in you've the commercial just there more change two of now Is

Kevin Lobo

Yes.

Kevin. this I'll that. is So, take

we system thing, you and used expect on with tell in procedures further Mako to being solution change robotics whatsoever is as is that here one would momentum proves has more validate and believe, introduction just the And I competitive If we the that down slowed anything, with not almost two the the to the don't quarter, of uptick fourth our First market in Mako. really market. knees it's to by stay United the we systems in orthopedics. the on the have we evidenced best States disclosed

are we're with very There the adoption moving system using ensures direction. you which love the is perfect synergy cut. complementary a high HaptX, surgeons at with is that rates. the So same but with our cementless it both way ones see very, and an And absolutely also rates have our those of system and absolutely to in very only that

side side of think anybody orthopedics. the we of our So love with tailwind chances by robotics in and competing adoption we this in further provides a

Matt Hendrickson

going And up, for thanks color, follow that. the then Wright acquisition. Good just to Medical for

planning had their software share preoperative of expand to market. about acquired, and Has driver being they their Before the main their kind were they technology, that you capture that are strategy enabling of that with going talked to changed and. with to continue you beginning technology at Now strategy integrate always all? are first Thank to of them, enabling with focusing kind you.

Kevin Lobo

some have. invested organization, out all of of we plans complementary with in really pipeline really part and what acquired and businesses we've capabilities products with the portfolio products to Yes, different you really outcomes. a the are the that as sides. build and technology teams, long-term different working all integration the would some the that from believe had on that blueprint a those of to that technologies they different And with really are right going and previously to launched, together lot tell always been believers we've of what including that the be unique R&D of the some Wright I that by are enabling platforms evidenced technologies, we've of the certainly, we technology leveraging as the focus patient improving is of both And

So, areas. in continue we to those will see investments

Operator

of line the Truist. Krum with from comes question Kaila next Your

may You proceed.

Kaila Krum

questions. our for Thanks taking

of speak most each relative think down you you ortho. XXXX. I I just on And And know you total the that segment So, how picks organic up to guess, the more the you just of Can the business just detail quarters grow super coming helpful. provided? are some MedSurg looking guidance curious you gave would appreciate Orthopedics. and for medical, will in that range be to the that I any I'm in at and demand slows backlog assuming

Kevin Lobo

been but just we don't guide, happen in the and affected in that through those certainly - look - really and elective a returning the at by breakdown that Yes. benefit are any the Kaila, we our procedures looks should XXXX, are typically businesses XXXX marketplace of terms elective as to affected have you I we throughout that procedures more take into go of provide happening we expecting segment of see what's that are in think if year.

it of our facilitating that are I the throughout as products procedures many thing segment, as to see that as should had expect would capital continued to well. just areas say, would demand smaller demand The pertains Kevin we've in are other to elective some really products continue then also benefit. those those really that of mentioned And of some and those see to 'XX see to strong capital large

Kaila Krum

the will Peter's this little easier feel earlier, to an is And of then of fair second QX growth say just and kind year more normal? be will comp year, higher the should of that to it the a off of mean, the guess sort bit have softest follow-up question QX I I a part

Kevin Lobo

say quarter the think, quarter, benefits the progress that continue I that we to of we remainder expect fair the fourth should it's variability first in certainly year. to see we that into we and experienced then throughout as the the happening

Operator

line Lichtman comes Steven next Your the Oppenheimer. of with question from

proceed. may You

Steven Lichtman

that you're the feedback like if So any rolling I wondering what the around great? from looks additional model provide would you and sales first, could early be you field provide some model the ASC out. on color was Any could details

Kevin Lobo

Yes.

put reasons, different first we involves from delighted going much to would that that detail ASC and too needs Stryker people ASC but Every not on say in I'm in for unique. deal and with portfolio the Every bring United our ASC. deal have of breadth this parts the every in that get multiple based I incredible competitive So, quarter backed navigated It into that really is but and I'm just offense States. our for collaboration unique the basically time divisions we're of of the company, really equipment, the we a place. way leveraging the deal capital and just charge across people is a We've with we've fantastic customized disposables absolutely really put enables the as implants divisions. in

business, such a fourth category-leading have serve plus that the we great truly I'm they'll have but for sports the a a customized but solutions. too But the just this to strong ASC the my the with success able now and U.S., not commercial not ASC and has in expectations. it a over again We presence having the the world. have the and grew in all often business that position, fortunately, just really spite needs in X% model been having the easy has but we And pandemic, so part ASC, is and our had with frankly, grow extremities, Wright success as fantastic, bullish sports, say, in heard model in in other let's sometimes exceeded had of performance of Mako to specific, to make getting be that to in continue and always. fantastic ASCs countries portfolio quarter you the obviously it businesses we offense We of even ASC, started of other formula now around provide

Steven Lichtman

cases spine And hold Thanks, Kevin. Thanks. any COVID then did is specifically franchise a how follow-up just XXXX. during recent the spike in that? This and up your thoughts on overall quarter, on fourth looking the into

Preston Wells

in holding some of bit it's the integration little better. Canada We say some other saw continued of the performed would markets some like And that that performance the enabling the more stability KXM a I business Japan outside States combining well. technologies up and related in those successful had than acquired I think well. through with our just function particularly the and procedures, Mobius. in United of with for better outside business that we as we general Yes, U.S. held had up the the like spine some procedures again, that that the spine business little we've of And a spine a procedures elective spine saw

as We technology. we as up the our spine well, I really to harnessing continue enabling XXXX So perform that the into as to power KXM, business better. all-in-all, definitely a legacy well think, it across and little bit expect held go business

Operator

line the from comes question with of Matt UBS. Taylor next Your

proceed. You may

Matt Taylor

for question. taking the you Thank

over two is U.S. you think do where interesting would and I U.S. that. all new and love So and on you just the in thoughts in on on thought disclosures again, can the approvals these question penetration push O Mako just penetration were follow-ups had One you bullish just cementless the that on geographies? really hear your both and opportunity, time, and had to Mako

Kevin Lobo

thanks. Yeah,

Mettler's. So think will progress, don't because stability. with certainly, I to just as is delighted the hips, it well get of both with bone with adoption the Mettlers as I'm where ever Mako bearing a we higher believed I clearly, think weight joint, five XX%, that. than to had if see, but significantly which be going it's have nobody It's can ago years now said would we

remarkable. that's pretty So

Mako, we terms of actual as a lot use this the of In have you installed of saw, year. robots

will hip China, knee So new the excited approved having and and at to a the these there it's China But already. - really of about approvals, continue little United are the a very made it's we're took well. some the important. of software, getting Brazil percentage for Japan total in that and Japan, is the certainly same as I that done longer would going to to Mako Russia with course, taking but Maybe expect progress us. little longer looking going Outside with very, we've increase, also be obviously approvals States, markets hips. of the because good very

States. in part hip the same As you United done know, there's a lot that not as world. the of unlike knees more the almost It's procedures

have the the you markets be in a approved They all we fact and quick. that would United going not States. applications, love you're of in multiple So, see we saw quite we those kind that growth expect similar to may as

are same little are markets slower terrific runway the China, term uptake The the for Mako. robotics. be tissue longer Japan, the kind soft States, we in and United outside prospects, Intuitive to bullish with frankly, that, for very seen sure, about You've going is of expect especially but Brazil, in a

Matt Taylor

that. give Wright timing could just some the now, in a robotic and follow-up thoughts spine? solution on us on you on house for for Maybe quick the With updated shoulders

Kevin Lobo

ready to yet. give really not We're timeline

shoulder. be before specific say We launch to to lot get to bullish a that have I closer we're extremely going about I'm would timelines. about

are were with to spine. for not the on Mako able excited ready with market Not implants. working procedure said ready But timelines. right, very and in bring teams a That teams. enabling be I've be timelines do. the we'd to been our I'm same It's to to that market-leading think yet for that yet very And difficult our have with I technologies past. - our that their

two options as Mako. robotic spine. for as program was well to have that by the One is acquisition We developed the Mobius prior being

areas. I'm So, But we just not is done will keep you Robotics timelines. And work in to give ready we have complicated. both posted.

Operator

Your from Ryan the next with of BTIG. comes Zimmerman question line

may You proceed.

Ryan Zimmerman

Thanks for taking questions. the

talk you was me. around first just capital about Just demand, Kevin, of in can equipment XXXX. kind dynamics in I the the play if for wondering

talked strong maybe much with You've been you about very haven't lights. booms and and that

half, a what equipment to and story half And composition second to terms may of so, that that half of about the portfolio? how capital the half of the kind this is moving second and think of your first from in entail first

Kevin Lobo

Yes.

certainly they're in pick lights as certainly booms of And with bit. the year. the that's division bit stretchers. positive up the of capital tailwind, lights the They part a large And you delayed within to large drag down starting beds That did little But hasn't ASCs, lights spend been capital and had will. - next projects Mako starting the booms certainly up back busy, really certainly, a defibrillators but little construction were and the because to are slowed should portion. that Endoscopy again. medical pick see of a and booms pandemic as So, the sort a and ride if bit. you And and

to the within business smaller bullish. continue a overall we Stryker. obviously Medical, that's So, feel But

we benefit, So, has really a up. of is fantastic get a did also this we that feedback. a great launched picked customer but getting new Sage bit product, pandemic bed

in second and nice was the hard as quarter, really a that hit the business that high its QX third subsides. growth pickup in So, pandemic quarter, presume had will

really of execution. the our frankly, gives commercial see in pandemic of then will of And that bump drop just a us Medical. wasn't that in diversity really just we're innovation it portfolio portfolio is and sort strong strong and growth going to the the because our to continue So suddenly optimism really,

Ryan Zimmerman

then And a just follow-up from me.

and of the And over that - due time and normalize small. market the appreciating that about demand if we for reprocessing lot Another been with doesn't any get to potentially business it's business itself kind as sustainability. that practice a I'm again, COVID and And is what of how can there's that whole think that And that or wondering to strength change can't hospitals. of do? attention in I'm just

Kevin Lobo

that in No, discretionary I - procedures. would Yes, elective used it's say products sure. just those are

So, procedures being hit they our that in hit. the directly saw deferrable were other same you way

nature that of because products, those pandemic so as And subsides will up. pick the of the growth

into nothing more than that. read to there's So,

didn't behaviors hospital really Our either negatively. change positively or

weren't If you the can If they those will weren't then used do shut sort then down, being being they of the use purchased. procedures products procedures, products. were and those

expect similar a based pattern would just to on follow elective I So, other it procedures

Operator

question the O'Brien line Matt next from Your Sandler. Piper of with comes

proceed. may You

Andrew Stafford

longer Wright, and have deal year and closed have ran completed timeline? the This baked contrasting start you is that really I additional you KX into of far, is, Matt. I with a questions. a you're the KX. you into for for Thanks for on gives could then, get us Drew start and what guys trying briefly couple one challenges. the guess process Wright help already through considering went on the Wright. to at guidance? comparing What stage of about process wanted good And into you to you feel contribution with the Maybe just to confidence so I'm the off by integration Do the what a you you taking process,

Kevin Lobo

Yes.

them similarities happening had. the there just and extremity Stryker The that foot of ankle true the more the then between there pretty But more some and growth some the business. the integration that's So certainly, about Wright differences. for as Stryker similarities is and two a in big are of I there with those much and are continuing think acquisitions, maybe bringing on side, business side, it's upper they've into where

think bringing perspective, a versus little about So Wright acquisition it on that bit of is KX. from different we the as

are like we Wright. coming, true any and the with those way we've previous plan all was additional as that of with our same for acquisitions learned acquisitions leave the and or Just new learnings and along

that that can and on close we're long And period plans so that are timely on year done. we we the to correct hit And organization place ensure integration really done have prepared mentioned sign focused And the between in running. the being the as really what I utilized so has to getting the plan. a team my had that's today, ground remarks, in a fashion. integrated sales ensuring in lot focus They executed we've of that

as we will we so that's provide and to at certainly, are And the year. we throughout some updates integration point where continue the continue this with

Andrew Stafford

your And appreciate I Mako on to the commentary bit little like placement continued today, a QX. ASCs. ASC and sounds mix here shift then, It in

the So, COVID course, I as term? Thank long continues year from out ASCs down the any? see a guess question Or look and over it of do is, do environment, we you ramping you. think interest you tapering the

Kevin Lobo

Yes.

and procedures, accelerating trend of going for ASC I of is, the prior even some hip doubt, foot without knee the think pandemic. the to the continue and a was procedures. It's to ankle especially procedures, already spine it

for now coverage is It permanent will So, think reimbursement well knees trend. Medicare. And a have as continue. obviously, this through hips I we as

lower burden inpatient a in the not the these health Canada make trend even like moving centers this and There at cost of already And very a of a looking stop good So, have for countries States. United And think future. thing to for I don't of surgery the sites good is the UK it's actually care going hospital. cost to overall. are is care. They're large profitable. They money. the It's

to to but you a my mind going - So, is is a no that doubt it's accelerate. pace the continue the of this actual that's there in with can debate curve, trend

Kevin Lobo

question next line with Leerink. from of Newitter SVB Your comes the Richard

proceed. You may

Richard Newitter

on A in as doing going with couple sell that Verasense an you follow-up. OrthoSensor, it wearable, think of your you first should that on And then that procedure? just do is I - OrthoSensor to you'll - there, do the the separately excuse use be ones can Are it intraoperative, for? just use competitors a on and of that of to me, will second looks you us whether continue currently of quick is Or that, with remind you iteration like, what On architecture? your whatever package know external a open plan going charge or OrthoSensor you that to think some you then system. the something when product and we a then capability? offer it's

Kevin Lobo

for Yes. Thanks the question.

the on obviously, here belt few So weeks. it's a new OrthoSensor, under

plans fully terms this the have market the for all various in how of time. are going we at something that so it's And we point any developed not to in of product

as And to so the think same what I to as impacts and was to what that be in legacy you with the able give what might happens, business we'll how we certainly market come going holds true about future terms mentioned I the those timelines as regards back think as and updates future. expect be and we're in haven't the product before, we defined the be we it to all well yet. And launches, of

will be cetera, developed that of all it will it point. in done that bring commercialize, And you et how be up all items sold, will so terms at how the of and

Richard Newitter

M&A everything anything M&A not I outlook? would And more maybe view if line fair Wright on in game very care the the normal you or to of should market, Congrats your Stryker you just we tuck-ins, I the and one if with much share out back finish respect of think guess, M&A, could just over of on the to comment there. getting or on Medical kind deals, Thanks. front. as small you of size finally to

Kevin Lobo

Sure.

our Medical you'll additional that's to Wright is so performance. mind important be really years It's we will we our took and the acquisition. debt those we reduce tuck-in normal did And just ongoing. over what next keep that do We've obviously think can I on quickly. the growth best, when strategy our strategy also we that our in to few commitments financial because it's and in something smaller so well, M&A made M&A and is see But we deals. that debt what do execute

to see see tuck-in normally don't anticipate year, Sage, two for we just like big back you'll year us a served size do us strategy doing you frankly, a - think a couple with the of So large we for through when of We acquisition the did I those moved and even sort you were I a when continuing Physio, like and smaller OrthoSensor, And years. into if or very that a we Medical which did think two, acquisitions just acquisitions. will with tuck-ins, of very of well. Wright

will I think, similar very that. play so it And out to

Operator

Your Needham the comes of line Company. with next Mike Matson & from question

You may proceed.

Mike Matson

us questions. my things could if an where us an thanks that planning ask update about was maybe overview I you're I to platform? the I give bed that launch, capabilities of that. on Hi, of with for wanted stand you wondering, ProCuity smart can guess, you give bed taking to kind the And

Kevin Lobo

Sure.

first So out the and really that in of quarter, quarter as XXXX. limited out is market the we a in about the way rolling think launch fourth full in a for

on really would probably In safe, advanced things feature. keeping I really three patient about as I just one, point well - think we fall benefits, as terms here, out and to think features a prevention focusing of it's height low the

to also, then floor. down bed truly about the - really drops I off the wireless. first the that's think it's And inches XX bed

drive those market. trying the all really so unmet in meet marketplace to of in the items And bed to benefits some needs

Mike Matson

of specific with higher several XXXX the had spill I specifically XXXX, that up there's guidance And you've margin, margin throughout into the us gross sequence for expect you're think then and is issues moving but the know then, the given any cost into give some of XXXX. of not absorption that year? gross which margins end to just a could you insight gross fixed rate, you in but kind I kind where got in at for parts, coming giving Can you margin,

Glenn Boehnlein

will a the have margin Yes. sort - other bigger kind of definitely as business at good gross Actually, normalized we back summarizing I XXXX. though. generally view sort I sort mix a those come will that largely Wright Conversely as I margins, think of higher And in margin gross share as see accretive of our orthopaedics business. also is to than our to of products come the you think those of forward year you margin, will it. look products what you average did at pretty as we be so higher our a total. will and job look of goes normalize becoming to of the also think, and

as to pick going you discretionary op up reminder, growth. see we moving Just a down are support spending margin, to that as

on will the will and sales year. likely And ramp so that a ramp throughout be way, as largely the go other

Operator

Josh comes of the question next from Jennings with Cowen. Your line

proceed. may You

Eric Anderson

Josh. for taking is Thanks question. the This Eric over

if hips the category perhaps, this just had the is excuse U.S., was that understand at you thoughts that me. XQ that And result. Looking quarter. behind Thank us could I a be been particularly business, the minute, just performance share and little resilient in would wondering, on more a headwinds in any your you. a we help what's pandemic for thinking, procedure to

Preston Wells

Yes.

Kevin think it outlined So pretty I well before.

quarter do elective I from because in is localized a the that and were the to just we looking think one standpoint. procedure a of variability tough impacts midst of seeing at overall, pandemic really the

less little given the you stopped you disease elective at might same time, elective where that, that world and expect that of depending are immune hips procedures were like being But to so be the would the in not on deferrable hips, and than a the nature of knees some the our certainly, were degeneration. just So other procedures.

installations knees really move hips we forward, this rollout that to of done expecting our the as look we're software, hip As with well new market and Mako of as we we've continued growth certainly year, above our all from as forward. the

Eric Anderson

the And is of business Understood. was able wondering you're if share what I Wright Thank then percent quickly, you. procedures? to outpatient to levered

Preston Wells

No, sharing. that's not something that we're

Operator

from comes Your Jeff the with line Baird. next of Johnson question

may proceed. You

Jeff Johnson

of markets as in better early those the questions in be even Most like one, few quarter, here Thanks. Latin the trend seen China continuing America it U.S. than we about answered, some gone into and European the in or one you guess held and we've just better in markets weeks that in line change just last those year? over I just anything are but any been hold last of should the have XQ in have or thinking fourth sounds to my

Glenn Boehnlein

shifts we haven't transition trend first tell would I you, fourth quarter Yes, significant seen quarter. any into that heading - from making

Operator

question Rose comes line the from with of Kyle next Canaccord. Your

Your is open. line

Kyle Rose

for Great. had me Kevin, Thank in. a two questions. you I strength. being of mentioned squeezing One, sports just you pocket

could driving if secondarily, should that technologies. be about focused you on. lot ecosystem enabling that for a what's products us. the And we Really, a that you building new wondering then flesh implants of Just as out talked connected

Mako opportunity the well. pretty understand I think we with

that's to it the just means help that understand you in. You But what and for OrthoSensor, bring got maybe your longer does flow be going or to loss from new us clearly loss. competitive close share term, company a thinking the several streams years? next picture Just we come there should prevent Are about how customers that in? big revenue that perspective, over

Kevin Lobo

Okay. Sure.

obviously more So digital. this, more second the the world with and going part, I'll is start

There's we're sensors. cloud. that to that with health types And really Stryker be we data already procedures done. all a have We data connect Mako being that collecting from thousands that to with of want thousands mine and of able

replacement. across sports. our to really It's it's whether whether to trauma, of businesses it's we not just this So limited joint cranial as be all maxillofacial, see going

business really head on something named of And we excited behalf Stryker. Robert we're of so is of this about all Cohen, that and the

we technology we all initiatives it to to different together around of centers already blocks. going be so have of really the bringing different leverage really create on And more sort of and parts and had in are company, types excellence able of

positioned this Robert well. very, well of exciting. the us, knows the extremely - so And think it's It's I very lead function company. you many for company know, very Robert, to to

that. repeat can again. the - I'm with catch sorry question, sorry, go And I didn't first them. you

Kyle Rose

them the about that - maybe strength just-- in sports just Yes, saw the medicine around you

Kevin Lobo

products, when I a tiny. company people then, XX business, implant implant series been was the internal for so medicine know small joined and and But we dramatically yeah, recently, product. have a of acquisitions, call really very hip But a also we whether fantastic sports we shoulder. name, through primarily - done throughout for a grown them another all Stryker. a arthroscopy. up whether has We business even sports anchor innovation. for didn't we've been, has well which almost in Sports, one had in which launched we sport lateral in picked fabulous since we it was up, just as years knee, ago, year, story are the key these hip shoulder our recall or medicine Omega it's pretty Pivot, of product which it row Most More picked fundamental it's product you may whether is it's

timing all have Denver in progress excited with we're and sports, really the we well a are that we've and the few combined again business our very the growing investment surgery other able just we year. sports. couldn't shift now lot of last joints with we sports, robust on to of is That divisions. made the Again, being - very, covered center use And we better at rate. fabulous of run be we and to ported have done. So three out in really very And because the years about in sports internally we've of in the

Operator

Suisse. line Your of Miksic Matt next question comes from with the Credit

may You proceed.

Matt Miksic

the taking much Thanks so for questions.

of up I and comments one follow on think just one share on on market a I your shoulder trend. think some what on, just

with then there surgeon any as mentioned, your your talk And of you little a quick on traditional know through you there the cross of in relationships if thoughts wondering, about could shoulder opportunity customers follow-up. rates for one or overlap that going So bit if thing. sort markets, of selling of end sort is what, and sort just I

Kevin Lobo

sure. Yes,

So general front. that the of shoulder And to did progress be cross-selling before, teams to integration smaller on the people. made to with call as volume also but surgeons a, much clearly, tricky allocated mentioned And through that did I'll the bigger the integration upper a And - But frankly ankle, and sales than to opportunities exist. number going on tended out going And statement. shoulder. are dedicated on just that to the where they business strong a of we as this be Preston with and be Stryker. as surgeons. as is will are stronger with hip business lot that not extremity surgeons, foot those They a surgeons it, had deployment, just tended Stryker be which which sales Medical some knee obviously fully tended great working we working Wright to a given

business both their foot Wright combined Medical, extremities. key of integration this think And products really I sales not going outstanding bring Medical. to leaders. to combined we'll leader we they're of Medical also and And over of thrilled have that were are delighted some the be only Even Wright to take of is the Wright the the came combined from leader the Head So, Sales leadership. business of our being and We and the but ankle is able bring business upper terrific. over from organization running their

talent So great technologies, over acquisition. great bringing we're over are we also not that only bringing with

Matt Miksic

And market then on trends. of a follow-up just sort

et there is about just end just or going market that, you joints for looking just knees, QX, or understanding lot I'm if to I think also Orthopaedics expect Or that the here heard clarity, above or too hard but you growth? variability? numbers in it of back grow - continue to and your just that is the expectation on to regional wondering talk sort cetera, it in correctly. differences, given I above procedure your on market represent Q&A mentioned is

Kevin Lobo

coming just deferred and at really how it's really and being surgeries what of tell third point, how being just they where given difficult well it's in they're and very quarter this seen you, the would terms talk are I not and in second we've variability dissimilar to deferred are Matt, to about as back. the

to one So, that I this really difficult pandemic use think quarter. in is to use difficult quarter one the and certainly of midst

look of knees. we runway terms normalized a and markets implement we're Mako So think, that have lot go we it, I and a as of at we've rates from standpoint, knowing looking what to to placement as growing at, we install in a in those get done Mako,

Operator

Mr. further There now Lobo remarks. are questions this no over conference will for closing time. turn the to at any Kevin I

Kevin Lobo

I'm have very, very joining pleased you year call. all XXXX strong forward thank a our So, XXXX. behind looking to to us. Like for in you, And

confident future. have the we feeling guide, we you April. from look the sharing as remainder you And saw you. very get our to results We in our But through, about of to QX with pandemic. Thank are this forward obviously,

Operator

conference. gentlemen, you. and Thank Thank today's Ladies for you this concludes participating.

You may now disconnect.

Stryker (SYK) 28 Jan 212020 Q4 Earnings call transcript