Stryker Misses Q1 Estimates Amidst Cyberattack Fears

Medical device maker Stryker maintained its full-year profit outlook for 2026, projecting adjusted annual profit between $14.90 and $15.10 per share. However, the company's first-quarter financial results, ending March 31, did not meet Wall Street expectations for both profit and revenue.

The company reported total revenue of $6.02 billion, below analysts' estimates of $6.35 billion. Adjusted earnings per share came in at $2.60, also falling short of the $2.98 expected by analysts. This performance was attributed to softer demand for implants and devices used in complex surgical procedures.

Adding to operational pressures, Stryker experienced a disruptive cyberattack in March, claimed by the Iranian-linked Handala hacking group. This attack reportedly limited access to company systems and caused delays in some surgeries, though Reuters could not independently verify social media claims about the group's logo appearing on login pages.

Despite the quarterly shortfall and cyber incident, Stryker's largest segment, medical surgery and neurotechnology, saw a 5% rise in sales to $3.21 billion. The orthopedics segment performed better than expected, with a 6.3% increase in sales to $2.81 billion.