According to a Medical Design & Outsourcing analysis of financial data, MedTech industry revenue, research spending and employment declined in the first year of the COVID-19 pandemic.
FREMONT, CA: According to a Medical Design & Outsourcing analysis of financial data, MedTech industry revenue, research spending and employment declined in the first year of the COVID-19 pandemic. As per Medical Design & Outsourcing analysis tallying the ongoing pandemic’s initial toll on the industry, the largest global medical device companies total sales, R&D spending, and employment declined in 2020 and early 2021. MDA used financial data from Big 100 companies ranking for the last three years to compare performance before and during the pandemic. While the majority of these companies reported full-year results for 2020, others operate on a fiscal year and report annual results in the first half of 2021.
Some companies were included in the analysis, despite not being mentioned in the Big 100 companies, as they were ranked in pre-pandemic years. In MedTech, approximately 100 of the largest company's aggregate revenue dropped 1.2 percent in 2020 compared to 2019. This group revenue totaled nearly 415.3 billion dollars in 2020, and MedTech's biggest company made 420.3 billion dollars and 374.4 billion dollars in 2019 and 2018, respectively.
Mainly the companies that had made huge sales were in diagnostics, but not exclusively. In the top 20 companies -two diabetes technology companies- Dexcom reported a 30.5 percent sales increment, and Insulet reported 22.5 percent sales growth compared to 2019. Furthermore, Fisher & Paykel Healthcare, Dräger (medical division), Danaher (life sciences and diagnostics segments), Ambu, Masimo, Konica Minolta (healthcare segment), BioMerieux, Getinge, Cardiovascular Systems and ResMed companies also reported significant sales growth during the pandemic. On the other hand, the largest sales decrease was at RTI surgical that is 67 percent. Conclusively, the spine tech company said COVID-19 caused significant disruptions, and warned that patients may continue to avoid surgeries even after the pandemic subsides.