Stryker Q1 Profit Dips 3.2 Percent On Economy

And if exchange rates hold near their March 31 levels, Stryker expects that to cut sales by about 5.5 percent to 6 percent in the second quarter and about 3.5 percent to 4.5 percent for all of 2009.

"The unprecedented global economic slowdown clearly impacted our business, yet our diverse set of businesses still delivered underlying sales growth in this very challenging period," Chief Executive Stephen MacMillan said in a statement.

Stryker said domestic sales increased 0.9 percent due to higher shipments of orthopedic implants, which were partly offset by lower shipments of medical and surgical equipment. Meanwhile, international sales fell 7 percent as unfavorable exchange rates due to the strong dollar pulled down foreign revenue by $87 million.

The company said total revenue would have been up by 3.3 percent over the year-ago quarter, if not for the effects of the strong dollar.