Adds company comments on tariffs throughout, updates shares
By Mariam Sunny and Padmanabhan Ananthan
April 23 (Reuters) - Boston Scientific BSX.N raised its annual profit forecast and said strong demand for its medical devices would buffer a potential $200 million tariff-related hit, sending its shares up nearly 6% on Wednesday.
The upbeat outlook comes against the backdrop of expectation that demand for non-urgent procedures will remain elevated this year, a trend highlighted by health insurance giant UnitedHealth Group UNH.N last week.
The medtech firm expects this trend to shield it from U.S. President Donald Trump's levies, which have been particularly aggressive on China, a critical supplier of raw materials and components for the pharmaceutical and medical device industries.
"Our ability to absorb the tariffs I think is more unique than most companies given the strength of the growth," CEO Mike Mahoney told analysts on a conference call.
The company expects 2025 adjusted profit per share of $2.87 to $2.94, compared with $2.80 to $2.87 earlier.
It posted an adjusted profit of 75 cents for the first quarter, topping estimates of 67 cents, according to data compiled by LSEG.
The company anticipates most of the tariff impact to be weighted in the second half and expects to avoid the hit through higher sales and cuts to discretionary spending.
Larger rival Johnson & Johnson JNJ.N last week forecast a $400-million impact to its medtech business, while Abbott Laboratories ABT.N said it expects tariffs to affect its earnings by a few hundred million dollars.
Boston Scientific said it has made significant investments to expand U.S. manufacturing capacity, including a recently opened facility in Georgia.
"We have a longstanding, very well optimized supply chain around the globe and (are) not looking to make any changes to that as we sit here today," CFO Dan Brennan said.
Separately, the company said Brennan would retire by June end, and will be succeeded by Jon Monson, senior vice president for investor relations.
(Reporting by Padmanabhan Ananthan and Mariam Sunny in Bengaluru; Editing by Leroy Leo)
((Padmanabhan.Ananthan@thomsonreuters.com;))
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