Manufacturer Incurs $133M in Stryker Hip Recall Charges and 33% Drop in 4Q Income
Last summer’s Stryker hip recall may have proved to be more costly in its aftermath than the hip implant manufacturer initially anticipated.
Company Earnings Drop 33% in Wake of Stryker Hip Recall
According to a Jan. 23 report from MSNBC.com, Stryker Orthopaedics’ net income plummeted 33 percent in the fourth quarter and took a $133 million charge related to the June 2012 recall of its Rejuvenate and ABG II hip implants.
Stryker is now valued at 71 cents per share, with its net income weighing in at $270 million, a Jan. 9 sales report indicated. At the end of its latest quarter on Dec. 31, the company said its income equated to $1.14 per share.
And that’s not all. A recent report from Reuters said the Stryker hip recall could cost between $190 million and $390 million in medical testing and treatment expenses for affected patients. Not to mention the costs of revision surgeries, lawsuits and insurance payments, the Jan. 9 article stated.
Despite these costs, Stryker says it expects its price per share to equal $4.25 and $4.40 in 2013.
Stryker Hip Recall Side Effects
The Stryker hip recall, which affected nearly 20,000 Rejuvenate hip replacement implants, was voluntarily issued by the company after concerns arose about fretting and corrosion of the metal components of the device. Since then, a mounting number of Stryker hip recall lawsuits have been filed on behalf of patients who allegedly suffered the following side effects:
- pain and/or swelling at the local joint site;
- immobility; and
- inflammation of the surrounding tissue.
To correct these side effects, many patients claim to have been forced to undergo revision surgeries to remove the implant.
How to File a Stryker Hip Recall Lawsuit
If you received the Stryker Rejuvenate or ABG II hip implant and suffered side effects as a result, you may be entitled to compensation for your injuries. Call an attorney at Bernstein Liebhard LLP (877) 779-1414 to discuss filing a Stryker hip recall lawsuit.