By Kimberly Chin
Stryker Corp. said it will separate its operations into two reportable business units instead of three to help align the company under a new internal reporting structure.
The medical-technology company said its business will now operate under a MedSurg and neurotechnology segment and an orthopaedics and spine segment. The company previously had three reportable business units: one dedicated to orthopaedics, another to MedSurg and a third to neurotechnology and spine.
The company said the restructuring follows the transition of responsibilities of its president and chief operating officer, Timothy Scannell. Last year, Stryker said Mr. Scannell intended to retire at the end of March 2023. The company said he would move to an advisory role, effective Oct. 1, 2021, and his duties would be divided between group Presidents J. Andrew Pierce and Spencer Stiles.
Mr. Pierce will help run the MedSurg and neurotechnology business and Mr. Stiles will help run the orthopaedics and spine segment, Stryker said in a securities filing.
In the third quarter, orthopaedic net sales netted $1.5 billion, a 16% increase from the previous year. MedSurg net sales were $1.8 billion, representing a 9.4% increase over last year. The neurotechnology and spine segment had net sales of around $900 million, up 7.3% year over year.
Stryker's shares fell 2% on Friday to $262.44.
Write to Kimberly Chin at email@example.com
(END) Dow Jones Newswires