Bulletin: Zimmer Biomet Holdings Inc. Procedure Volumes Are Improving, Though Uncertainties Remain

NEW YORK (S&P Global Ratings) Aug. 4, 2020—S&P Global Ratings said today that although Zimmer Biomet Holdings Inc.'s (BBB/Negative/--) recently announced second-quarter 2020 operating results reflected an encouraging recovery in procedure volumes from the COVID-19-induced lows in the March/April timeframe, procedure volumes remain materially significantly below pre-pandemic levels and recovery will likely be more gradual going forward. Given the continued uncertainty, our ratings and negative outlook on Zimmer are unchanged. The company's business continued to be hurt by the COVID-19 pandemic, with second-quarter revenues declining 38.3% year-over-year. All of Zimmer's major geographic regions and product segments saw sales declines following mass delays in elective procedures. Zimmer's profitability was also significantly affected in the quarter, despite the rapid recovery in procedure

...August 4, 2020 NEW YORK (S&P Global Ratings) Aug. 4, 2020--S&P Global Ratings said today that although Zimmer Biomet Holdings Inc.'s (###/Negative/--) recently announced second-quarter 2020 operating results reflected an encouraging recovery in procedure volumes from the COVID-19-induced lows in the March/April timeframe, procedure volumes remain materially significantly below pre-pandemic levels and recovery will likely be more gradual going forward. Given the continued uncertainty, our ratings and negative outlook on Zimmer are unchanged. The company's business continued to be hurt by the COVID-19 pandemic, with second-quarter revenues declining 38.3% year-over-year. All of Zimmer's major geographic regions and product segments saw sales declines following mass delays in elective procedures. Zimmer's profitability was also significantly affected in the quarter, despite the rapid recovery in procedure volumes, because the lower-margin Asia-Pacific region started recovering sooner than...

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