Boston Scientific says it's unlikely to meet 2026 sales and profit forecast after cyberattack

Boston Scientific, Model Farm Road, Cork. Picture: Larry Cummins

Boston Scientific said on Tuesday it no longer expected to meet its previously issued third-quarter and full-year 2026 sales and adjusted profit forecasts, after a cybersecurity incident disrupted the medical device maker's global operations.

An unauthorised activity on some of its information technology systems, first identified on August 25, caused a network outage that affected access to operating systems and business applications, disrupting manufacturing and the processing and shipment of customer orders, the company said in a regulatory filing. Its shares were down 2.1% before the bell.

Boston Scientific had said in July it expected 2026 adjusted earnings of $3.28 to $3.32 per share, and forecast 2026 net sales growth between 5.5% and 6.5% on a reported basis.

For the third quarter, the company expected adjusted earnings to be in the range of 80 cents to 82 cents per share.

The company said it had made progress restoring affected systems, with major distribution centres now processing and shipping orders at or above normal levels. Sterilisation facilities are operational, and manufacturing has resumed across most of its facilities globally.

The multinational operates three plants in Ireland, in Cork, Clonmel, and Galway.

Boston Scientific said it expected to recover a portion of the lost revenue as it ramps up operations, fulfils customer orders and reduces backlogs, but the full financial impact of the incident remains uncertain.

The incident is the latest in a series of cyberattacks on the healthcare sector, with medical device makers Abbott Laboratories, Stryker and Medtronic, health insurer Clover Health and drugmaker Novo Nordisk among those recently hit.

Boston Scientific plans to provide an update on the operational and financial impact of the incident when it reports third-quarter results on October 28.

In March, workers at another device manufacturer, Stryker, were impacted by a cyberattack. It is understood the entity behind the Stryker attack — Handala Hack — is Iranian in origin.

Stryker has 53,000 employees and has eight sites in Ireland where it employs 5,500 staff, more than 4,000 of whom are based in Cork.

The company has operated an Irish facility since 1998.

Boston Scientific has had a presence in Ireland for more than three decades, first establishing operations in Ireland in 1994.

Its Irish operations produce more than 30 million devices each year for patients worldwide. The Cork site, located on Model Farm Road, employs an estimated 1,200 people and has operated since 1997.

Earlier this year, the company announced plans to invest a further €75m in its Irish operations.

Reuters