St. Jude Cuts Sales Outlook

Lower revenues from implantable defibrillators has caused St. Paul, MN-based St. Jude Medical to cut it quarterly profit and revenue projections in the first quarter of 2006, according to Reuters News Service. The medical device manufacturer said it expects to report earnings between 35 cents to 36 cents per share on sales of about $784 million for the quarter. Previously, St. Jude had said it expects sales between $799 million and $839 million. And the main culprit behind the reduction is the implantable cardioverter defibrillators (ICDs). The company lowered its projected revenue from the ICDs to $262 million, from a range of $300 million to $310 million. Analysts said that the company was too optimistic about gaining share in the first quarter from Indianapolis, IN-based Guidant who has had a string of recalls in the last year. Guidant is currently in the process of being acquired by Natick, MA-based Boston Scientific.