LONDON & BOSTON & TOKYO--(BUSINESS WIRE)--The global medtech industry is forecast to grow at a CAGR of 5.6% from 2017 to 2024 and reach $595 billion in sales by 2024, according to the latest report from Evaluate Ltd. Medtronic was the leading medtech company in 2017 with sales of $30 billion, and is forecast to retain the crown in 2024 with sales of nearly $39 billion. Of the remaining top five companies in 2017, Johnson & Johnson, Abbott Laboratories and Siemens Healthineers are forecast to retain their places in 2024; however, Becton Dickinson jumps three spots to edge out Phillips and claim the number five spot following its purchase of C.R. Bard.
Medtronic also leads in R&D investment, with a forecast spend of $2.7 billion in 2024. “Research and development is the lifeblood of the medtech sector, and it’s no surprise that industry leader Medtronic spends the most,” said report author Emily Muir. “However, heart valve specialist Edwards Lifesciences and French diagnostics company bioMérieux are the top spenders when it comes to the percentage of their sales they invest in R&D.”
Across the industry, global medtech R&D spend is set to grow by 4.5%, reaching $39bn in 2024. With the FDA repeatedly stating its determination to speed medical devices to market, and the number of innovative products granted first-time premarket approval in 2017 matching the peak seen in 2015, signs are positive that the growth in R&D investment will pay off in new treatment options.
Additional highlights from the EvaluateMedTech World Preview 2018, Outlook to 2024:
- Neurology is set to be the fastest-growing device area, with a CAGR of 9.1% between 2017 and 2024; diagnostic imaging and orthopedics will be the slowest, with annual growth of just 3.7% between these years
- In vitro diagnostics remains the number one device area in 2024 with sales of $79.6bn; Roche is forecast to hold 18% of the market
- Medtronic will remain the top group in cardiology in 2024 with sales of $14.2bn, a 20% market share
- Diagnostic imaging sales are forecast to reach $51bn in 2024; Siemens Healthineers, General Electric and Philips continue to dominate the market
- Essilor will continue to dominate the ophthalmics market in 2024, with forecast sales of $11.6bn
The analysis is based on in-depth consensus forecast models for the top 300 global medtech companies available within the EvaluateMedTech service. The report can be downloaded at www.evaluate.com/MedtechWorldPreview2018.
About Evaluate
Evaluate Ltd. provides trusted commercial intelligence for the pharmaceutical and medical device industries. Our EvaluatePharma® and EvaluateMedTech online subscription services provide a seamless view of the past, present and future of the global market in a single, standardised platform. Vantage – our award winning, independent editorial team – provides thought-provoking insights into the current and future developments in the industry.
Evaluate has been a trusted partner to industry-leading organisations for over 20 years. For more information on how we give our clients the time and understanding to drive better decisions, visit us at www.evaluate.com.
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