Boston Scientific’s Irish unit makes dividend payment of €1bn
Accounts for Boston Scientific Ltd also show that revenues increased by 17% to $4.2bn
The Boston Scientific plant in Galway. Photograph: Joe O’Shaughnessy
The Irish business of Boston Scientific and a number of overseas subsidiaries last year paid out a dividend of $1.14 billion (€1 billion).
The leading US medical device manufacturer is one of the largest companies here employing almost 4,500 people at sites in Galway, Cork and Clonmel. New accounts show that the group’s pre-tax profits last year increased by 30 per cent to $737 million.
Accounts for Boston Scientific Ltd also show that revenues increased by 17 per cent to $4.2 billion.
According to the directors’ report they were satisfied with the performance of the company, with the increase in income consistent with the overall growth in Boston Scientific revenues during the year in addition to the transfer of additional activity to the entity.
The number of people employed by the business increased from 4,310 to 4,467, and staff costs increased from $266.6 million to $296.6 million.
The $1.1 billion dividend payout – which followed a $1.8 billion payout in 2017 – off set by the profits for last year contributed to the group’s accumulated profits reducing to $727.29 million.
The profit takes account of non-cash amortisation and depreciation costs of $282 million, and research and development expenditure of $621 million.
In addition, the accounts disclose that an agreement with the IDA specifies that the company has a contingent liability to repay in whole or part grants received of $41 million at December 2018 if certain circumstances as laid out in those deals occur within five years of the date of the agreement.
The directors state that the company is engaged in a series of initiatives aimed at growing its gross and operating margin.