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Zimmer Biomet sees ERP implementation impacting FY24 sales by about 1%

Says addressing “inconsistent” U.S. performance. Believes company can deliver mid-single digit revenue with EPS growing faster than revenue. Notes that the company moved from legacy ERP platform in July to SAP, says “things worked well at first,” identified it didn’t work as expected, which will create some challenges in revenue in 2H24. Zimmer Biomet says situation is well managed, and it understands the root cause, but that it will impact 2H24 revenue. Says impact could be about 1% to FY24 sales. Comments taken from the Wells Fargo Healthcare Conference. Shares of Zimmer Biomet are down 7.5% in early trading to $105.87.

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