By Heather Mayer and Brendon Nafziger

Some big-name companies in the medical device and pharmaceutical industries reported their second-quarter earnings this week.

St. Jude Medical
St. Jude Medical, a global medical device company, took advantage of the March recall of Boston Scientific's ICDs, announcing that $15 million of U.S. ICD sales can be attributed to its competitor's suspension of sales.

SJM announced its second-quarter sales of $1.3 billion, an 11 percent increase compared to last year's second quarter revenue. And the company announced earnings of $254 million, or $0.77 per diluted share, compared with $219 million or $0.63 per diluted share for the second quarter last year.

Specializing in cardiac rhythm management (CRM) devices, which include implantable cardioverter-defibrillators and pacemaker products, SJM reported $788 million for this quarter, a 12 percent increase from this time last year. The $15 million is considered a one-time benefit, a company spokeswoman told DOTmed News in an e-mail.

Boston Scientific recalled its ICDs in March after failing to follow the necessary protocol, detailing that the company had added a new component supplier and reworked a cleaning process for the devices.

SJM also announced its expected earnings for the third quarter to be in the range of $0.67 to $0.69 per diluted share, and it's raising its guidance for the full year of 2010 to range from $2.86 to $2.91.

The company's second quarter ended July 3.

Boston Scientific

Even with its 30-day recall of the popular defibrillators, Boston Scientific managed to hold its own during the second quarter. The company reported net sales of $1.9 billion, compared to $2.1 billion for the second quarter of 2009.

"In CRM, we finished the quarter well ahead of where we expected to be," said Ray Elliot, president and CEO, in prepared remarks.

Health care investment bank Leerink Swann said in a letter to investors that Boston Scientific's ICD market share was "clearly recovering ahead of time," calling the company's results "encouraging."

The company also increased its worldwide endoscopy sales by 8 percent, according to the report.

Baxter International

No surprises for Baxter International this quarter. The company announced its second quarter earnings to be in line with the previously issued guidance of $.90 to $0.93 per diluted share. The company reported a net income of $535 million, a 9 percent decrease from last year's $587 million during the second quarter.

Earnings per diluted share decreased by 6 percent from $0.96 to $0.90 since last year.

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