BSX · 10-Q · 2026Q2 · Full report
Liquidity and Capital Position
BOSTON SCIENTIFIC CORP · 2026-08-03 · Importance 31 · Surprise 6 · In source text
Boston Scientific expects cash, operating cash generation, capital-market access and credit facilities to fund operations, infrastructure investment, legal liabilities, taxes, debt service, repayment and possible acquisitions for at least the next 12 months and the foreseeable future. As of June 30, 2026, the company held $539 million of unrestricted cash and had $1.311 billion of additional availability under its $3.0 billion revolving credit agreement after $1.689 billion of commercial paper borrowings. The company also arranged a $2.0 billion 364-day revolving facility and $6.0 billion term-loan facility to support the pending Penumbra acquisition, with no amounts drawn at June 30, 2026.
Key facts
- Boston Scientific plans to fund the Penumbra transaction consideration through a combination of cash on hand and newly issued debt of approximately $11.000 billion, with the remaining portion to be paid in shares of Boston Scientific common stock. source
- The permitted exclusion from consolidated EBITDA for certain charges and expenses includes a cap whereby the sum of any excluded net cash litigation payments since December 31, 2025 may not exceed $1.160 billion; as of June 30, 2026 Boston Scientific had $1.115 billion of the total permitted exclusion remaining. source
- During the first six months of 2026, financing activities included net proceeds from issuance of commercial paper of $1.675 billion, a $2.000 billion payment to repurchase common stock, and a $255 million payment of the remaining balance of 3.750% Senior Notes due March 2026. source
- The credit agreements allow higher leverage ratios following a qualified acquisition exceeding $1.000 billion, with a temporary maximum permitted leverage ratio of 4.75 times for the four succeeding quarters including the acquisition quarter; as of June 30, 2026 the maximum permitted leverage ratio is 4.00 times because Boston Scientific designated the Axonics acquisition as a qualified acquisition and continued such designation under the new agreements. source
- Boston Scientific was in compliance with its credit agreement financial covenant as of June 30, 2026, with the actual leverage ratio at 2.02 times versus the covenant maximum permitted leverage ratio of 4.00 times as of June 30, 2026. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | negative | probable | -12.2% | Boston Scientific plans to fund the Penumbra transaction consideration through a combination of cash on hand and newly issued debt of… |
| cash | positive | realized | +3.7% | During the first six months of 2026, financing activities included net proceeds from issuance of commercial paper of $1.675 billion, a… |
| cash | negative | realized | -0.6% | During the first six months of 2026, financing activities included net proceeds from issuance of commercial paper of $1.675 billion, a… |