Stryker Corporation announced unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2016. For the quarter, the company reported net sales of $3,157 million against $2,715 million a year ago. Operating income was $661 million against $648 million a year ago. Earnings before income taxes were $588 million against $612 million a year ago. Net earnings were $510 million or $1.34 per diluted share against $522 million or $1.38 per diluted share a year ago. On adjusted basis, operating income was $873 million against $744 million a year ago. On adjusted basis, net earnings were $675 million or $1.78 per diluted share against $591 million or $1.56 per diluted share a year ago, reflecting strong sales growth, accretive acquisitions and good operating expense control. Fourth quarter EPS was negatively impacted $0.03 by foreign currency exchange.

For the full year, the company reported net sales of $11,325 million against $9,946 million a year ago. Operating income was $2,166 million against $1,861 million a year ago. Earnings before income taxes were $1,921 million against $1,735 million a year ago. Net earnings were $1,647 million or $4.35 per diluted share against $1,439 million or $3.78 per diluted share a year ago. On adjusted basis, operating income was $2,887 million against $2,481 million a year ago. On adjusted basis, net earnings were $2,194 million or $5.80 per diluted share against $1,949 million or $5.12 per diluted share a year ago. Full year cash from operations was approximately $1.8 billion compared to $0.899 billion a year ago. Purchases of property, plant and equipment was $490 million compared to $270 million a year ago.

The company provided earnings guidance for the first quarter ending March 31, 2017 and full year ending December 31, 2017. The company expects 2017 organic sales growth to be in the range of 5.5% to 6.5% and adjusted net earnings per diluted share to be in the range of $6.35 to $6.45 in the full year. If foreign currency exchange rates hold near current levels, the company expects net sales in the first quarter and full year to be negatively impacted by approximately 1.0% and adjusted net earnings per diluted share to be negatively impacted by approximately $0.03 to $0.04 in the first quarter and $0.10 to $0.12 in the full year. Capital expenditures are expected to be approximately $450 million in 2017 as they continue to invest in operations and IT infrastructure to support future growth. This level compares to $490 million of capital expenditures in 2016. Net earnings per diluted share to be in the range of $5.44 to $5.69.


The company expects adjusted net earnings per diluted share to be in the range of $1.40 to $1.45 and net earnings per diluted share to be in the range of $1.15 to $1.26 for the first quarter ending March 31, 2017.