GlobalData: US medtech market expected to return to normal very quickly
Jul 31 2020
Following the recent quarterly earnings reports for multiple American Medtech companies;
James Spencer, Data Scientist at GlobalData, a leading data and analytics company, offers his view on the current approach to reopening America’s economy:
When COVID first hit, GlobalData saw huge drops in medtech sales across all non-essential markets in the US. This led to gigantic drops of 50% in the cardiovascular market and 70% in the hip and knee reconstruction markets. Others, such as the in vitro diagnosis (IVD) space, were less affected, with (still large) drops of around 30-40%. Immediate life-saving surgeries were largely unaffected.
However, this story is not entirely doom and gloom. Within a few months of the worst the pandemic has to offer, the US market has seen incredible recovery in just a few months. LabCorp, one of the largest testing providers in the US, has actually seen its business grow over the course of the pandemic as the need for COVID-19 tests has outstripped any decreases in revenue from other testing products.
Other large markets such as the cardiovascular and hip and knee reconstruction markets are also enjoying large resurgences. In the months of April to May, Cardiovascular grew by 50% while hip and knees grew by 66%. These resurgences leave them at 74% and 52% of their original Jan 2020 values. If the US continues to stay open, GlobalData expects to see a return to normal happen very quickly.”