So far the first-quarter reporting cycle has displayed an encouraging picture for the Medical Productscompanies within the broader Medicalsector. Collective business growth has improved from the last reported quarter with month-wise strong rebound in base sales volumes. These can be attributed to gradual lifting of restrictions and people getting back to pre-pandemic normalcy. Besides, testing, vaccine and therapeutic makers have been riding on huge market adoption of their COVID-19-related healthcare-support products and services.
More specifically, the first-quarter results of the majority of medical product stocks have shown accelerated base business growth, after being in the doldrums through the earlier pandemic-affected quarters.
Although vaccine and therapeutic makers are still riding on huge market adoption of their COVID-19-related healthcare-support products and services, there has been significant reduction in demand for COVID-19 testing due to a drop in new cases.
Q1 Scorecard Trend
Boston Scientific BSX, LabCorp LH, Quest Diagnostics and Hologic HOLX are a few companies whose base-business performance registered strong recovery rate. For Boston Scientific, first-quarter organic sales grew significantly compared to the 2019 comparable period (pre pandemic). Growth came in the second half of the quarter on stronger-than-anticipated procedure recovery and market share gains across most of its businesses and regions.
For LabCorp, its Diagnostics and Drug Development base business revenues increased 8% and 24% respectively. Despite its expectation of significant sinking of COVID-related testing revenues through the months of 2021, the companys raised 2021 guidance banking on fast recovering base business buoys optimism..