Medical device giant Masimo says cyberattack is limiting ability to fill customer orders

A cyberattack on medical device manufacturer Masimo is affecting the company’s ability to process and ship customer orders.

The company notified the U.S. Securities and Exchange Commission on Tuesday evening about a cyberattack that was first identified on April 27. 

“As a result of the incident, certain of the Company’s manufacturing facilities have been operating at less than normal levels, and the Company’s ability to process, fulfill, and ship customer orders timely has been temporarily impacted,” company officials warned SEC regulators. 

California-based Masimo said it has been “working diligently to bring the affected portions of its network back online, restore normal business operations and mitigate the impact of the incident.”

The company said it isolated the impacted systems after discovering the attack, hired cybersecurity experts and notified law enforcement.

An investigation into the attack is ongoing and the company declined to comment about whether it was dealing with a ransomware attack when contacted by Recorded Future News. The “full scope, nature, and impact of the incident are not yet known,” according to the statement. 

A spokesperson noted that Masimo CEO Katie Szyman mentioned the incident during a quarterly earnings call on Tuesday.  

“I also want to touch briefly on an incident that has impacted our website and several of our systems beginning last week. The investigation is ongoing, but as of right now, we do not expect that this will have an impact on our guidance,” Szyman said, according to a transcript. 

“Given the nature of these things, we appreciate your understanding that we will not be commenting more on this event during our earnings call today.”

Masimo is one of the world’s largest medical device manufacturers, reporting more than $2 billion in revenue last year. It’s best known for producing sensors, patient monitors and automation solutions — including a line of pulse oximetry tools that are used by hospitals worldwide.

Companies have increasingly dealt with severe financial consequences from cyberattacks that target manufacturing facilities. 

Cleaning product giant Clorox and technology multinational Johnson Controls both reported millions in financial losses last year that resulted from cyber incidents affecting each company’s ability to ship products and continue operations. 

Just one month ago, Massachusetts-based manufacturer Sensata Technologies reported a similar incident to the SEC that affected its shipping and manufacturing production.