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ATEC reported 4Q19 orthopedic revenue of USD $32.4 million, +27.7% vs. 4Q18, with full-year 2019 revenue of $113.4 million, +23.8% vs. 2018. The company launched 12 new products during the year, as well as the SafeOp Neural Monitoring platform. 4Q19 marked the fifth consecutive quarter of accelerating double-digit growth, as ATEC continued to improve upon its growth metrics. The percentage of revenue generated from new products increased from 10% in 2018 to 37% in 2019. Revenue per surgery increased 17% vs. the prior year and the company continues to fine-tune its strategic distributor network, with 90% of company revenue being generated by these preferred distributors. With the acquisition of EOS Imaging, expected to close mid-2020, ATEC believes that it has accelerated its path to $200 million in annual revenue. The company expects growth of about 20% in 2020.
“I think you should expect to see new accounts come on board based on SafeOp as we know it today. You will always see it as a passive contributor. The revenue generated directly from the neurophysiology system is not going to be significant, but the dollar volume of influence will be.” – ATEC CEO and President Patrick Miles on the role of SafeOp in the lead up to its eventual integration with EOS imaging
Revenue Data
All revenue data is provided in USD millions unless otherwise noted. Sales and growth rates are estimated on an as-reported basis.
Segment Sales
| 4Q19 | 4Q18 | $ Chg | % Chg | |
|---|---|---|---|---|
| Spine | $29.6 | $23.0 | $6.6 | 28.9% |
| Orthobiologics | $2.7 | $2.4 | $0.4 | 16% |
| Total | $32.4 | $25.3 | $7.0 | 27.7% |
| FY 19 | FY 18 | $ Chg | % Chg | |
|---|---|---|---|---|
| Spine | $103.6 | $83.3 | $20.3 | 24.4% |
| Orthobiologics | $9.8 | $8.3 | $1.5 | 17.9% |
| Total | $113.4 | $91.6 | $21.8 | 23.8% |
Geographic Sales
| 4Q19 | 4Q18 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $31.1 | $23.1 | $8.1 | 35.1% |
| Ex-US | $1.2 | $2.3 | ($1.1) | (47.3%) |
| Total | $32.4 | $25.3 | $7.0 | 27.7% |
Earnings
| Amt | % of Sales | |
|---|---|---|
| Sales | $32.4 | |
| Cost of Sales | ($10.1) | 31.4% |
| Selling and Admin | ($29.0) | 89.6% |
| R & D | ($3.4) | 10.6% |
| Other | ($6.8) | 21.1% |
| Net Earnings | ($17.0) | (52.6%) |
Mike Evers is ORTHOWORLD’s Digital Content Strategist. He can be reached by email.
ATEC reported 4Q19 orthopedic revenue of USD $32.4 million, +27.7% vs. 4Q18, with full-year 2019 revenue of $113.4 million, +23.8% vs. 2018. The company launched 12 new products during the year, as well as the SafeOp Neural Monitoring platform. 4Q19 marked the fifth consecutive quarter of accelerating double-digit growth, as ATEC...
ATEC reported 4Q19 orthopedic revenue of USD $32.4 million, +27.7% vs. 4Q18, with full-year 2019 revenue of $113.4 million, +23.8% vs. 2018. The company launched 12 new products during the year, as well as the SafeOp Neural Monitoring platform. 4Q19 marked the fifth consecutive quarter of accelerating double-digit growth, as ATEC continued to improve upon its growth metrics. The percentage of revenue generated from new products increased from 10% in 2018 to 37% in 2019. Revenue per surgery increased 17% vs. the prior year and the company continues to fine-tune its strategic distributor network, with 90% of company revenue being generated by these preferred distributors. With the acquisition of EOS Imaging, expected to close mid-2020, ATEC believes that it has accelerated its path to $200 million in annual revenue. The company expects growth of about 20% in 2020.
“I think you should expect to see new accounts come on board based on SafeOp as we know it today. You will always see it as a passive contributor. The revenue generated directly from the neurophysiology system is not going to be significant, but the dollar volume of influence will be.” – ATEC CEO and President Patrick Miles on the role of SafeOp in the lead up to its eventual integration with EOS imaging
Revenue Data
All revenue data is provided in USD millions unless otherwise noted. Sales and growth rates are estimated on an as-reported basis.
Segment Sales
| 4Q19 | 4Q18 | $ Chg | % Chg | |
|---|---|---|---|---|
| Spine | $29.6 | $23.0 | $6.6 | 28.9% |
| Orthobiologics | $2.7 | $2.4 | $0.4 | 16% |
| Total | $32.4 | $25.3 | $7.0 | 27.7% |
| FY 19 | FY 18 | $ Chg | % Chg | |
|---|---|---|---|---|
| Spine | $103.6 | $83.3 | $20.3 | 24.4% |
| Orthobiologics | $9.8 | $8.3 | $1.5 | 17.9% |
| Total | $113.4 | $91.6 | $21.8 | 23.8% |
Geographic Sales
| 4Q19 | 4Q18 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $31.1 | $23.1 | $8.1 | 35.1% |
| Ex-US | $1.2 | $2.3 | ($1.1) | (47.3%) |
| Total | $32.4 | $25.3 | $7.0 | 27.7% |
Earnings
| Amt | % of Sales | |
|---|---|---|
| Sales | $32.4 | |
| Cost of Sales | ($10.1) | 31.4% |
| Selling and Admin | ($29.0) | 89.6% |
| R & D | ($3.4) | 10.6% |
| Other | ($6.8) | 21.1% |
| Net Earnings | ($17.0) | (52.6%) |
Mike Evers is ORTHOWORLD’s Digital Content Strategist. He can be reached by email.
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ME
Mike Evers is a Senior Market Analyst and writer with over 15 years of experience in the medical industry, spanning cardiac rhythm management, ER coding and billing, and orthopedics. He joined ORTHOWORLD in 2018, where he provides market analysis and editorial coverage.
