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Stryker Misses Financial Forecasts After Cyberattack

By Kim S. Nash

 

Hello. Stryker posted higher profit and sales in the first quarter, but fell short of analyst expectations for the period as it recovered from a cyberattack linked to pro-Iran hackers. 

"Our growth this quarter was meaningfully impacted by the cyber incident," CEO Kevin Lobo said Thursday on a call with analysts. "The cyber incident had a big impact on our results and affected each of our businesses differently, given their varied go-to-market models and processes to record revenue."

Manufacturing and shipping delays after the March 11 cyberattack caused the medical-device maker to lose sales in the quarter but the company expects to make them up during the rest of the year, CFO Preston Wells said. The company maintained full-year financial guidance. 

Stryker officials said they couldn't give detailed financial results for each of its product segments because of tech outages after the cyberattack. The incident also affected the company's working capital but officials didn't provide specifics. 

More news below, plus the latest episode of the Dow Jones Risk Journal podcast. 

 

‏‏‎ ‎

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More Cyber News

PHOTO: GENE J. PUSKAR/AP

The House approved a long-delayed measure to fund most of the Department of Homeland Security and end a 76-day shutdown, after the Trump administration warned it had run out of emergency funds to pay workers next week. President Trump signed the bill into law Thursday afternoon. (WSJ)

First-quarter profit at Check Point Software Technologies jumped 13% compared to the same period last year. Revenue grew 5%. Lower firewall sales led the company to cut its full-year revenue forecast to $2.77 billion to $2.85 billion, down from $2.83 billion-$2.95 billion. (Reuters)

CISO move: Jacki Monson joined CVS Health as deputy CISO, working with CISO Alan Rosa, who joined in 2023. Previously, Monson spent 13 years at healthcare network Sutter Health, most recently as chief integration officer, CISO and chief privacy officer. 

 

🎧 What happens when the person you hire to help you against hackers is secretly working with them? We discuss such a case in federal court right now. Also, Texas is getting tough on oil theft. James Rundle hosts.

Catch new episodes every Friday on Apple Podcasts, Spotify and Amazon.

‘We Know You Live Right Here’: No Secrets in America’s New Surveillance Dragnet. In the battle against illegal immigration, the U.S. is spending hundreds of millions of dollars on tools that give federal agents easy access to the home and workplace addresses of American citizens, their social-media accounts, vehicle information, flight history, law-enforcement records and other personal information, as well as data to track their daily comings and goings. (WSJ)

$725 Million

Estimated cargo theft losses last year in the U.S. and Canada, increasingly driven by hackers working with in-real-life thieves, according to the Federal Bureau of Investigation. 

That's up 60% from 2024, the FBI said. 

 

National Security

PHOTO: ELIZABETH FRANTZ/REUTERS

The Defense Department has completed agreements with six technology companies, including many of the industry’s biggest, to use their artificial-intelligence capabilities in classified settings, boosting the Pentagon’s efforts to gain access to cutting-edge AI tools.

The department said Friday it is now capable of using in classified settings the technology and models from the ChatGPT maker, OpenAI; Alphabet’s Google; Elon Musk’s SpaceX; Microsoft; Nvidia; and a startup, Reflection AI. SpaceX owns Musk’s AI company, xAI. (WSJ)

 

About Us

The WSJ Pro Cybersecurity team is Deputy Bureau Chief Kim S. Nash and reporters Angus Loten and James Rundle. Follow us on X @WSJCyber. Reach the team by replying to any newsletter you receive or by emailing Kim at kim.nash@wsj.com.

 
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