Michael F. Mahoney
Chairman and Chief Executive Officer at Boston Scientific
Thanks, Jon, and thank you, everyone, for joining us today. Our second quarter results exceeded our expectations, led by the strength of our differentiated global cardiovascular portfolio, particularly the execution in AF Solutions and the winning spirit of our global team.
In second quarter, total Company operational sales grew 16%, organic sales grew 15%, exceeding the high end of our guidance range of 10% to 12%. Our top-tier growth continues to be fueled by innovation, clinical evidence generation, and our strategy of category leadership. Consistent with prior quarters, most of our businesses and regions grew well above market. Second quarter adjusted EPS of $0.62 grew 15% versus 2023, exceeding the high end of our guidance range of $0.57 to $0.59. Second quarter adjusted operating margin was 27.2%. And as a result of our first-half margin performance and revenue upside versus previous expectations, we now expect to expand adjusted operating margin 50 basis points to 70 basis points for the full year.
Turning to the third quarter and full-year '24 outlook, we're guiding to organic growth of 13% to 15% for third quarter and raising our full-year guidance from 10% to 12% to 13% to 14%, reflecting momentum across our broad portfolio, particularly in our EP business unit. Our third quarter adjusted EPS guidance is $0.57 to $0.59, and we expect our full-year adjusted EPS to be $2.38 to $2.42, representing growth of 16% to 18%. Dan will provide more details on our financials, and I'll provide some additional color on the quarter and the outlook for the second-half of '24.
Regionally and on an operational basis, the U.S. grew 17% in the second quarter, with exceptional growth in EP, fueled by the continued success of the FARAPULSE launch as well as WATCHMAN, Coronary Imaging and strength in our MedSurg businesses. Europe grew 16% on an operational basis versus second quarter '23. This impressive performance was driven by double-digit growth in seven of our eight business units, led by robust growth in EP and strength across our growth in emerging markets. Second quarter was also a record quarter in the region for our Structural Heart business, following positive data presented on ACURATE Neo2 at the recent EuroPCR Conference. We expect this momentum to continue, supported by the launch of the larger size ACURATE Prime Valve in late '24.
Asia Pac grew 13% operationally versus a difficult comp in second quarter '23, with excellent performance in China, growing high-teens and Japan, growing double-digits. We also recently received approval in China for FARAPULSE and AGENT Drug-Coated Balloon, and continue to expect approval for FARAPULSE in Japan in the second-half of this year. We expect the contribution from these launches will ramp over 2025. Within the quarter, pricing actions in key geographies went into effect, with the China VBP on Coronary Imaging and Japan reimbursement cuts in June. We do expect Asia Pac to grow low-double-digits in the second-half of the year, including the full impact of these pricing actions.
Some additional commentary on the business units. Our Urology business grew 9% organically in the quarter, with double-digit growth in stone management and prosthetic urology, supported by our direct-to-patient efforts driving patient awareness and early contribution from the limited market release of the Tenacio Pump. International growth of 14% was driven by laser therapies and Rezum. We look forward to closing this previously announced acquisition of Axonics, which we continue to expect in the second-half of this year.
Endoscopy sales grew 8%, both operationally and organically in the second quarter. Second quarter results were driven by above market growth in our Biliary franchise, led by high-teens growth in AXIOS and the high-teens growth in our Endoluminal Surgery franchise. We continue to expect endo sales to grow faster than the market throughout '24, enabled by our innovative portfolio.
Neuromodulation sales grew 16% operationally and 4% organically in the quarter. Our Brain franchise grew low-single-digits, with some impact from competitive product launches. We expect this business to strengthen in the second-half of the year, driven by our portfolio of differentiated technologies. In second quarter, our Pain franchise grew strong double-digits operationally and mid-single-digits on an organic basis. Our Spinal Cord Stim business saw improved U.S. trialing cadence in the quarter, and we expect that our U.S. SCS franchise will improve in the second-half of the year.
The Relievant business continues to perform extremely well, with more than 30,000 patients treated with the Intracept System to date. Peripheral Intervention sales grew 12% operationally and 9% organically versus second quarter. High-single-digit growth in Arterial was driven by continued momentum in our Drug-Eluting portfolio, which -- with double-digit growth in the quarter. Mid-single-digit growth in Venous was driven by momentum of EKOS, supported by the real PE data set and continued double-digit growth in Varithena. Our Interventional Oncology franchise grew double-digits in the second quarter, driven by our broad offering across embolization and cancer therapies. Looking forward, we continue to expect to close the previously announced acquisition of Silk Road Medical in the second-half of this year.
Cardiology. Cardiology delivered another excellent quarter, with organic sales growing 22% versus second quarter of '23. Within Cardiology, Interventional Cardiology Therapies sales grew 9%. Growth in Coronary Therapies was driven by continued strength in our global Imaging franchise and APAC Calcium franchise. Within the quarter, we initiated a limited launch of AGENT DCB in the U.S., which has received positive initial physician feedback. Our Structural Heart Valves franchise grew strong double-digits in the second quarter, led by ACURATE Neo2, which continues to see growth from both new and existing accounts in Europe and Latin America. At the end of the quarter, we also completed follow-up of the full 1,500-patient cohort and the U.S. ACURATE IDE trial. We now expect to present this data in the first-half of 2025, likely at the annual ACC meeting.
WATCHMAN had another excellent quarter, growing 20% organically with strong contribution from the ongoing launch of WATCHMAN FLX Pro in the U.S. and Japan. The U.S. grew 20%, led by further penetration into the existing indicated patient population, enabled by our innovation clinical evidence and patient awareness efforts.
Cardiac Rhythm Management sales grew 3% organically in the quarter. In second quarter, our Diagnostics franchise grew double-digits. This above market growth was driven by our broad cardiac diagnostics portfolio. In Core CRM, our high- and low-voltage business grew low-single-digits, with strong international growth, partially offset by slightly below market growth in the U.S. At the recent HRS meeting, data was presented from the MODULAR ATP trial of the Modular CRM System, which is comprised of the EMPOWER Leadless Pacemaker and EMBLEM S-ICD, which met all pre-specified six-month end-points and a high rate of ATP success, with no patient request for deactivation of pacing due to pain or discomfort.
Turning EP. EP sales grew an impressive 125% organically versus second quarter '23, driven by the rapid and sustained adoption of the transformative FARAPULSE PFA System. Second quarter sales were driven by outstanding commercial execution, robust supply and positive real-world outcomes, as well as increased AF ablation volumes, supported by the efficiency of the FARAPULS workflow. Our Baylis Access Solutions business also continues to see strong double-digit growth in the U.S., with utilization at approximately 80% of PFA procedures and approximately 85% of WATCHMAN procedures. Internationally, we saw continued FARAPULSE account openings and robust utilization in Europe, and launched in APAC markets.
Importantly, evidence of more than 20,000 patients treated with FARAPULSE has been published, or presented at medical conferences, demonstrating the safety, efficacy, and reproducibility of the System. And within the quarter, we completed an enrollment in the NAVIGATE-PF study of the FARAVIEW Software Module and FARAWAVE Nav-enabled Catheter, both of which are expected to launch in the U.S. during the second-half of the year. At the recent HRS meeting, outcomes from a sub-analysis of the ADVENT trial were presented. This is the very first randomized data for a PFA system, demonstrating superior efficacy versus thermal modalities, with significantly more patients having achieved an atrial arrhythmic burden of less than 0.1% with FARAPULSE compared to RF and cryo. We plan to continue a steady cadence of clinical evidence generation to maintain our PFA leadership, including REMATCH-AF, a planned trial designed to study the FARAPOINT and FARAWAVE Catheter in patients who need a redo-ablation, which we expect to begin enrolling early in '25.
In closing, I'm very grateful to our global team for the commitment and winning spirit, enabling us to deliver life-changing technologies to millions of patients. We're in the most exciting chapters as a company, with a track-record of executing or exceeding our financial goals, while delivering meaningful innovation.
With that, I'll hand it over to Dan.
