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Medical Instrument and Supply Manufacturing the US Industry Market Research Report from IBISWorld Has Been Updated
Date:11/23/2013

Los Angeles, CA (PRWEB) November 23, 2013

The $91.7-billion Medical Instrument and Supply Manufacturing industry is a mature, consolidating industry with relatively high profit margins; as such, the industry was largely resilient during the recession, and IBISWorld expects its revenue to continue growing in coming years. Revenue is expected to rise 2.4% in 2013, in line with average annual growth of 1.5% over the five years to 2013. Increased public and private health spending, continued technological innovation and new product introductions have contributed to growing demand for medical instruments and supplies, and the industry has benefited from favorable demographic trends as well.

According to IBISWorld Industry Analyst Jocelyn Phillips, “The aging population requires more healthcare procedures, which necessitate medical instruments and supplies, and rising obesity and diabetes rates have boosted the need for devices that address these issues.” Moreover, the burgeoning home healthcare market has provided opportunities for new product development in the Medical Instrument and Supply Manufacturing industry.

The four largest companies have expanded during the past five years, and their market share will likely continue to grow through 2018. This growth is due in part to consolidation, as industry conglomerates acquired many small firms during the recession despite rising revenue. As a result, since 2008, the number of industry companies has declined 1.4% per year on average to 15,508. Consolidation has helped the industry sustain average profit margins of 10.7% of revenue, with larger companies able to achieve margins closer to 20.0% through their ability to control pricing.

“Favorable demographic and technologic
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