Alphatec Spine’s ongoing transformation continued to pay dividends in 2Q19 as the company notched its third consecutive quarter of double-digit growth.
- Increased 2019 total revenue guidance to $104MM to $109MM, up from $100MM to $104MM.
- Revenue from new products contributed 32% this quarter, after none the year prior.
- The SafeOp platform is currently in alpha evaluations with anticipated full commercial release in the fourth quarter.
- Within the quarter, launched two approach-specific spine implants (IdentTi TLIF and IdenTi ALIF) as well as the SafeOp-integrated Invictus thoracolumbar fixation system.
- Revenue per case increased 15% vs. the prior year due to more complex surgeries and an average of 1.5 products sold per case.
- Revenue per distributor increased 45% year over year, as the company continues to overhaul its sales channel. Revenue from “strategic” suppliers comprised 88% of total revenue.
Performance by Segment
ORTHOWORLD estimates segment sales and growth on an as-reported basis ($MM).
| 2Q19 | 2Q18 | $ Chg | % Chg |
| Spine | $25.0 | $20.0 | $5.0 | 25.3% |
| Orthobiologics | $2.3 | $2.0 | $0.3 | 13.5% |
| Total | $27.3 | $22.0 | $5.3 | 24.2% |
| 1H19 | 1H18 | $ Chg | % Chg |
| Spine | $47.3 | $39.3 | $8.0 | 20.3% |
| Orthobiologics | $4.6 | $4.0 | $0.6 | 15.0% |
| Total | $51.9 | $43.3 | $8.6 | 19.8% |
Sales by Geographic Region
ORTHOWORLD estimates sales by geographic region as follows ($MM).
| 2Q19 | 2Q18 | $ Chg | % Chg |
| US | $26.1 | $20.4 | $5.7 | 28.1% |
| Ex-US | $1.2 | $1.6 | -$0.4 | -24.8% |
| Total | $27.3 | $22.0 | $5.3 | 24.2% |
Net Earnings Data
Net earnings ($MM):
| Amt | % of Sales |
| Sales | $27.3 | |
| Cost of Sales | -$8.4 | 30.9% |
| Selling and Admin | -$24.6 | 89.9% |
| R & D | -$3.4 | 12.3% |
| Other | -$3.4 | 12.4% |
| Net Earnings | -$12.4 | -45.5% |
Sources: Alphatec Spine; ORTHOWORLD estimates.
Mike Evers is ORTHOWORLD’s Market Analyst. He can be reached by email.
Copy to clipboard 
