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Globus Medical reported 4Q20 orthopedic revenue of USD $233.4 million, +10.3% vs. 4Q19, with full-year 2020 revenue of $789 million, +0.5% vs. 2019. The company set records for both total sales and enabling technology sales in the fourth quarter, pushing Globus to a new all-time high revenue mark for the full year.
The company said it is taking “significant” share in the U.S. spine market and experienced a massive resurgence in its biologics franchise. Globus’ international sales faced COVID headwinds as well as organizational changes in Japan. In shifting to a fully direct sales force in Japan, the company terminated its contracts with all third-party distributors and expects to experience sales disruption in the region through 2021.
Globus’s portfolio of enabling technology is slated to grow soon, with its imaging system expected to launch in 3Q21 and its joint replacement robot arriving in 2022. The company described itself as in the early stages of a cultural and developmental shift toward integrated technologies. Globus leadership said that products from this new paradigm could arrive at the end of 2021 or beginning of 2022.
“Globus is in the early stages of a technology transformation that will combine the capabilities of our enabling technology solutions with our innovative implant portfolio. We have reorganized our product development efforts around procedural solutions, teaming up engineers from the implant side with those from Enabling Technologies. We expect that this collaboration from the ground up will result in more impactful seamlessly integrated solutions, accelerating the advancement of patient care.” – Dave Demski, Globus Medical CEO
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
| 4Q20 | 4Q19 | $ Chg | % Chg | |
|---|---|---|---|---|
| Joint Replacement | $2.5 | $2.5 | $0.0 | 1.5% |
| Knees | $1.5 | $1.5 | ($0.0) | (0.2%) |
| Hips | $1.0 | $1.0 | $0.0 | 4% |
| Spine | $218.6 | $200.5 | $18.1 | 9.1% |
| Trauma | $2.3 | $1.0 | $1.3 | 130% |
| Orthobiologics | $10.0 | $7.7 | $2.3 | 29.9% |
| Total | $233.4 | $211.7 | $21.8 | 10.3% |
| FY20 | FY19 | $ Chg | % Chg | |
|---|---|---|---|---|
| Joint Replacement | $8.8 | $6.3 | $2.5 | 40.6% |
| Knees | $5.2 | $3.8 | $1.4 | 37.4% |
| Hips | $3.6 | $2.5 | $1.1 | 45.4% |
| Spine | $740.0 | $745.0 | ($5.0) | (0.7%) |
| Trauma | $7.7 | $3.3 | $4.4 | 132.3% |
| Orthobiologics | $32.5 | $30.8 | $1.8 | 5.8% |
| Total | $789.0 | $785.4 | $3.7 | 0.5% |
Geographic Sales
| 4Q20 | 4Q19 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $198.7 | $177.5 | $21.3 | 12% |
| OUS | $34.7 | $34.2 | $0.5 | 1.4% |
| Total | $233.4 | $211.7 | $21.8 | 10.3% |
| FY20 | FY19 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $664.5 | $647.7 | $16.8 | 2.6% |
| OUS | $124.6 | $137.7 | ($13.1) | (9.5%) |
| Total | $789.0 | $785.4 | $3.7 | 0.5% |
Earnings
| Amt | % of Sales | |
|---|---|---|
| Sales | $233.4 | |
| Cost of Sales | $60.9 | 26.1% |
| R & D | $15.2 | 6.5% |
| Selling and Admin | $92.0 | 39.4% |
| Other | $12.3 | 5.3% |
| Net Earnings | $53.0 | 22.7% |
Mike Evers is ORTHOWORLD’s Digital Content Strategist. He can be reached by email.
Globus Medical reported 4Q20 orthopedic revenue of USD $233.4 million, +10.3% vs. 4Q19, with full-year 2020 revenue of $789 million, +0.5% vs. 2019. The company set records for both total sales and enabling technology sales in the fourth quarter, pushing Globus to a new all-time high revenue mark for the full year.
The company said it is...
Globus Medical reported 4Q20 orthopedic revenue of USD $233.4 million, +10.3% vs. 4Q19, with full-year 2020 revenue of $789 million, +0.5% vs. 2019. The company set records for both total sales and enabling technology sales in the fourth quarter, pushing Globus to a new all-time high revenue mark for the full year.
The company said it is taking “significant” share in the U.S. spine market and experienced a massive resurgence in its biologics franchise. Globus’ international sales faced COVID headwinds as well as organizational changes in Japan. In shifting to a fully direct sales force in Japan, the company terminated its contracts with all third-party distributors and expects to experience sales disruption in the region through 2021.
Globus’s portfolio of enabling technology is slated to grow soon, with its imaging system expected to launch in 3Q21 and its joint replacement robot arriving in 2022. The company described itself as in the early stages of a cultural and developmental shift toward integrated technologies. Globus leadership said that products from this new paradigm could arrive at the end of 2021 or beginning of 2022.
“Globus is in the early stages of a technology transformation that will combine the capabilities of our enabling technology solutions with our innovative implant portfolio. We have reorganized our product development efforts around procedural solutions, teaming up engineers from the implant side with those from Enabling Technologies. We expect that this collaboration from the ground up will result in more impactful seamlessly integrated solutions, accelerating the advancement of patient care.” – Dave Demski, Globus Medical CEO
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
| 4Q20 | 4Q19 | $ Chg | % Chg | |
|---|---|---|---|---|
| Joint Replacement | $2.5 | $2.5 | $0.0 | 1.5% |
| Knees | $1.5 | $1.5 | ($0.0) | (0.2%) |
| Hips | $1.0 | $1.0 | $0.0 | 4% |
| Spine | $218.6 | $200.5 | $18.1 | 9.1% |
| Trauma | $2.3 | $1.0 | $1.3 | 130% |
| Orthobiologics | $10.0 | $7.7 | $2.3 | 29.9% |
| Total | $233.4 | $211.7 | $21.8 | 10.3% |
| FY20 | FY19 | $ Chg | % Chg | |
|---|---|---|---|---|
| Joint Replacement | $8.8 | $6.3 | $2.5 | 40.6% |
| Knees | $5.2 | $3.8 | $1.4 | 37.4% |
| Hips | $3.6 | $2.5 | $1.1 | 45.4% |
| Spine | $740.0 | $745.0 | ($5.0) | (0.7%) |
| Trauma | $7.7 | $3.3 | $4.4 | 132.3% |
| Orthobiologics | $32.5 | $30.8 | $1.8 | 5.8% |
| Total | $789.0 | $785.4 | $3.7 | 0.5% |
Geographic Sales
| 4Q20 | 4Q19 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $198.7 | $177.5 | $21.3 | 12% |
| OUS | $34.7 | $34.2 | $0.5 | 1.4% |
| Total | $233.4 | $211.7 | $21.8 | 10.3% |
| FY20 | FY19 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $664.5 | $647.7 | $16.8 | 2.6% |
| OUS | $124.6 | $137.7 | ($13.1) | (9.5%) |
| Total | $789.0 | $785.4 | $3.7 | 0.5% |
Earnings
| Amt | % of Sales | |
|---|---|---|
| Sales | $233.4 | |
| Cost of Sales | $60.9 | 26.1% |
| R & D | $15.2 | 6.5% |
| Selling and Admin | $92.0 | 39.4% |
| Other | $12.3 | 5.3% |
| Net Earnings | $53.0 | 22.7% |
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.
