Total Revenue (Net Sales)

–11% (from $1,598.2M to $1,412.7M)

Total revenue declined by 11% driven by lower sales across major geographic segments (US, Europe, Japan, and Rest of World). The prior period’s higher sales were not sustained in Q1 2025 due to market headwinds and lower overall demand. " "

TAVR Revenue

+3.8% (from $1,007.9M to $1,046.6M)

TAVR revenue grew modestly by 3.8%, reflecting incremental gains from continued adoption of the Edwards SAPIEN platform. This growth partially offset the broader revenue decline, though the base was already high relative to other segments. " "

TMTT Revenue

+58% (from $72.9M to $115.2M)

TMTT revenue surged by 58%, primarily due to increased sales of the PASCAL and EVOQUE systems, which built on a lower prior-year base and benefited from expanding treatment options for mitral and tricuspid diseases. " "

Surgical Structural Heart Revenue

–6% (from $266.1M to $250.9M)

Surgical Structural Heart revenue fell by 6%, possibly because of lower demand and increased competition from less invasive treatment alternatives compared to the previous period’s performance. " "

United States Revenue

–10.8% (from $940.7M to $838.9M)

US revenue declined by 10.8%, reflecting a drop in domestic sales across several product lines. The previous period’s higher volumes were not repeated, likely due to market saturation and conservative patient volumes. " "

Europe Revenue

–7% (from $367.8M to $341.8M)

Europe revenue decreased by 7% due to slower product adoption and unfavorable currency fluctuations compared to the prior period’s robust performance, despite earlier growth driven by new product launches. " "

Japan Revenue

–26% (from $110.8M to $81.8M)

Japan experienced a dramatic 26% decline likely driven by severe foreign exchange headwinds and possibly reduced market demand compared to a higher base in the previous period. " "

Rest of World Revenue

–16% (from $178.9M to $150.2M)

Rest of World revenue dropped by 16%, reflecting challenging market conditions and lower demand, with impacts likely similar to other regions that experienced adverse currency and economic headwinds when compared to the previous period. " "

Operating Income

Increased modestly (from $387.5M to $394.8M)

Operating income edged up slightly despite lower revenue, suggesting that improved cost management and operational efficiencies partially offset the revenue declines observed in Q1 2025 relative to Q1 2024. " "

Net Income Attributable

Increased slightly (from $351.9M to $358.0M)

Net income saw a minor increase driven by effective cost controls and better expense management, resulting in improved profitability relative to a higher base in the prior period. " "

Total Company Sales

FY 2025

$5.6 billion to $6.0 billion "

$5.7 billion to $6.1 billion " "

raised

Operating Margin

FY 2025

27% to 28% "

27% to 28% "

no change

Tax Rate (excluding special items)

FY 2025

15% to 18% "

15% to 18% "

no change

Gross Profit Margin

FY 2025

78% to 79% "

78% to 79% "

no change

TMTT Sales

FY 2025

$500 million to $530 million "

$530 million to $550 million " "

raised

Total Company Sales Growth

FY 2025

no prior guidance

8% to 10% "

no prior guidance

Adjusted EPS

FY 2025

no prior guidance

$2.40 to $2.50 " " "

no prior guidance

TAVR Sales Growth

FY 2025

no prior guidance

Full-year sales growth guidance of 5% to 7% "

no prior guidance

Full‐Year Guidance & EPS Outlook

Q3 & Q4 2024: Sales growth guidance of 8–10%, total company sales targets of approximately $5.6–$6.0B, and EPS as well as operating margin projections were set with a steady message of confidence despite factors such as tariff concerns and acquisition impacts. " " "

Q1 2025: Raised total sales guidance (now $5.7–$6.1B) and reaffirmed full‐year EPS guidance of $2.40–$2.50 despite headwinds, demonstrating additional confidence with an improved sales range ( " " " ).

Improved and reinforced guidance: The outlook remains consistently positive with an upward revision in sales targets and maintained EPS guidance.

Innovative Product Pipeline & Regulatory Milestones

Q3 & Q4 2024: Emphasis on a robust pipeline—highlighting products like PASCAL, EVOQUE, SAPIEN M3 (with European approval anticipated), and approvals such as Alterra—and significant regulatory milestones (e.g., final NCD for EVOQUE, trial progress for CLASP). " " " "

Q1 2025: Continued focus on innovation with additional upcoming catalysts, including anticipated EARLY TAVR indication approval in Q2, further advancements with SAPIEN M3, and new surgical innovations such as the MITRIS launch in China ( " " ).

Consistently robust with new catalysts: The pipeline remains strong and is expanding further with new near-term regulatory milestones, reinforcing an optimistic outlook.

TAVR Growth Prospects & Regulatory Approval Timing

Q3 & Q4 2024: Consistent TAVR growth guidance of 5–7% backed by stable global performance, with detailed discussions of long‐term opportunities and the impact of capacity constraints and regional market differences. " " " "

Q1 2025: Reaffirms the 5–7% growth guidance alongside first‐quarter performance data; introduces the upcoming EARLY TAVR approval expected in Q2, which promises to drive further adoption ( " " ).

Steady with additional near‐term catalysts: The overall growth outlook is consistent, with a new regulatory milestone on the horizon enhancing near-term optimism.

TMTT Segment Expansion & Global Market Penetration

Q3 & Q4 2024: Highlighted strong growth in the TMTT segment driven by PASCAL and EVOQUE, with sales reaching significant levels and market creation ambitions including projections to grow from ~$300M to ~$500M (and further long‐term potential). " " "

Q1 2025: Reports robust first‐quarter sales (60% growth) in the TMTT segment and raised the 2025 sales guidance to $530–$550M, reflecting accelerating global adoption and balanced contributions from both mitral and tricuspid solutions ( " " " ).

Accelerating expansion: The segment is growing at an even faster rate with higher guidance, demonstrating bullish sentiment on global penetration.

Regional Market Performance – Japan

Q3 & Q4 2024: Consistently noted slower market growth in Japan and pressures that affected results, though long‐term opportunities were recognized given the large aging population and unmet patient needs. " "

Q1 2025: Japan’s performance was described as “a little bit disappointing” due to weak procedure growth and competitive pressures, yet the long‐term potential remains attractive because of significant unmet needs ( " " ).

Persistent near‐term challenges: Short‐term performance remains weak, but there is ongoing long‑term optimism for market turnaround.

Tariff Headwinds & Acquisition Integration Risks (JenaValve)

Q3 2024: Little to no discussion on tariffs; Q4 2024 considered tariffs immaterial with no explicit mention of integration risks regarding JenaValve ( " " ).

Q1 2025: Tariff headwinds are now explicitly quantified at a ~$0.05 EPS impact and integration risks from the JenaValve acquisition (estimated dilution of $0.05–$0.10), indicating a more detailed focus on these financial challenges ( " ).

Emerging risk focus: Previously downplayed, these issues are now more clearly articulated as near‑term challenges with measurable financial impacts.

Competitive Pressures in Structural Heart/TAVR Market

Q3 & Q4 2024: Emphasis on a strong competitive position supported by premium product differentiation (e.g., SAPIEN 3 Ultra RESILIA) with manageable capacity constraints and regional pressures, particularly in Japan ( " " ).

Q1 2025: Acknowledges competitive pressures again—especially in Japan—but maintains that the company’s differentiated technology and stable pricing underpin its leadership position ( " " ).

Consistent resilience: The sentiment remains steady; competitive challenges are recognized but are met with confidence in the company’s market leadership and product edge.

Operating Margin & Profitability Concerns

Q3 2024: Operating margins were strong (with Q3 at 31.4% due to timing benefits) and full‑year margins were expected around 27–28%, with emphasis on cost optimization and margin expansion in the future ( " " " ).

Q1 2025: Reports a Q1 operating margin of 29.1%—slightly higher than previous year’s period—with reminders of near‑term pressures from a weakening dollar, tariffs, and acquisition integration risks, while maintaining full‑year guidance of 27–28% ( " ).

Steady with cautious optimism: Margins remain robust and expectations for long‑term improvement persist, despite current headwinds.

Dependency on Midyear Catalysts & Execution Risks

Q4 2024: Highlighted key mid‑year catalysts such as the anticipated asymptomatic TAVR approval, European SAPIEN M3 approval, and final NCD for EVOQUE as essential for future growth, implying reliance on these events for momentum. " " " Q3 2024: No explicit discussion.

Q1 2025: There is no explicit mention of dependency on mid‑year catalysts or execution risks, although the mid‑year JenaValve acquisition is noted, suggesting that such dependencies are still in play but are less discussed in this period.

Reduced explicit emphasis: While earlier calls underlined significant mid‑year milestones, Q1 is more focused on current performance; the dependency remains but is less prominently featured.

Emerging Market Opportunities in China

Q3 2024: Mention was limited to a one‑time adjustment related to a distributor rebate, with no strategic focus on new China opportunities. Q4 2024: No significant commentary on emerging opportunities was provided ( " " ).

Q1 2025: The launch of MITRIS in China was highlighted with positive surgeon feedback, signaling a newfound emphasis on emerging market opportunities in China as a growth driver ( " " ).

Newly emerging emphasis: China has moved from a peripheral mention to a strategic focus, with positive early signals injecting optimism into the market potential.