Leading medical devices player, Medtronic (MDT) recently announced positive data for its InterStim therapy. It was observed that the therapy could improve the quality of life in a majority of patients after three years of follow -up. Earlier, in April 2011, the company had received approval from the US Food and Drug Administration (FDA) for its InterStim therapy for bowel control. The therapy was also prescribed for treating overactive bladder and non-obstructive urinary retention.
The three-year follow-up data on 120 patients was published in the September issue of “Diseases of the Colon and Rectum”. The analysis was carried out to check the safety and effectiveness of the InterStim therapy. Among the 77 patients who completed all the three follow-up assessments, 86% witnessed a 50% reduction in the number of incontinent episodes per week compared to baseline. Moreover, patients experienced significant improvements in overall quality of life at 12, 24 and 36 months of follow-up.
In the third quarter of fiscal 2011, this segment generated $432 million in sales, up 5% (4% at CER) from the year-ago period. Following the FDA approval of InterStim therapy for bowel control, the company is working on securing reimbursement as it plans to expedite its launch in fiscal 2012.
Fiscal 2011 has been one of the most challenging years for Medtronic precipitated by the macroeconomic downturn and decreased utilization. According to the company’s estimates, its markets are currently growing in the low-single digits versus 6−7% in the previous year. Although the situation is improving gradually, the two biggest segments at Medtronic – CRDM and Spinal continue to remain under pressure. As a result, the company is focused on developing new technologies to make up for lost sales.
Over the past few years, Medtronic has been reallocating resources towards new therapies and emerging markets to drive growth. Meaningful acquisitions include Ardian, Invatec, Osteotech and ATS Medical. Following the launch of Protecta and Revo MRI in the US, pricing and market share are expected to improve. However, the company faces tough competition from players like St Jude Medical (STJ) and Boston Scientific Corporation (BSX).
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