Getinge heart device quality issues weigh as co issues new outlook target

Getinge publ AB

15/05/2024 08:21

** Shares in Getinge  GETIb.ST  fall 8% after the medical
equipment maker issues new midterm guidance, but says finances
will continue to be negatively impacted by ongoing quality
issues with its heart devices until new products are launched
    ** The company said it targets over 12% growth on average in
its adjusted EPS for 2024-2028, compared to its previous target
for over 10% growth in EPS for 2022-2025
    ** "New mid-term targets suggest limited upside to EPS, but
ongoing long-term quality issues remain a problem," says J.P.
Morgan
    ** The company said it will also limit sales of some of its
heart products in the U.S after recent FDA warning 
    ** JPM says that given the company's history of missing
mid-term targets and ongoing long-term regulatory issues it
suspect investors will remain sceptical 
    ** The share is among the worst performers on the
pan-European STOXX 600 index  .STOXX 

 (Reporting by Greta Rosen Fondahn)
 ((Greta.RosenFondahn@thomsonreuters.com))