30 Day Trial
BARE BONES logo

BARE BONES content is posted to these pages in real time.

Monthly compilations are available in PDF form.

Product / Company Performance

Globus Medical Double-Digit Growth Driven by Spinal Hardware and ExcelsiusGPS -

Globus Medical reported 3Q19 revenue of USD $196.2MM, +15.9% vs. 3Q18.

 

  • Increased 2019 full year revenue guidance to the range of $775MM (+8.7%) to $778MM (+9.1%)
  • Above market growth was driven primarily by “significant” share gains, competitive rep recruiting and implant pull through from ExcelsiusGPS installations
  • Growth in ex-U.S. markets driven by strength in Japan, the U.K., Italy, India and Austria
  • Despite the strong quarterly result, leadership said that 3Q brought slight deceleration due to the alleviation of pent-up demand brought on by supply shortages that are now resolved; that deceleration is expected to continue in 4Q as the company faces more difficult comparisons
  • Completed its core trauma portfolio in 3Q, launching the Autobahn Tibial Nailing system as well as ANTHEM plating systems for the tibia and clavicle
  • A 3D-printed interbody spacer and next-generation TLIF device are expected to launch in 4Q
  • In addition to the interbody module for ExelsiusGPS shown at NASS 2019, Globus will launch a spinal deformity solution early in 2020; the Globus Imaging System and a new cranial module for ExcelsiusGPS are also expected in 2020
  • Per leadership, developmental milestones for a robotic solution in joint replacement will come in late 2020
  • ORTHOWORLD projects Globus Medical full year 2019 revenue of $781.2MM, +9.6% vs. 2018

 

ORTHOWORLD estimates segment sales and growth on an as-reported basis, as follows ($MM).

  3Q19 3Q18 $ Chg % Chg
Joint Replacement * $2.5      
   Knees $1.5      
   Hips $1.0      
Spine $186.2 $164.4 $21.8 13.3%
Trauma $2.4 $0.3 $2.2 860.0%
Orthobiologics $5.1 $4.6 $0.5 11.9%
Total $196.2 $169.2 $27.0 15.9%
  9Mo 19 9Mo 18 $ Chg % Chg
Joint Replacement * $3.8      
   Knees $2.3      
   Hips $1.5      
Spine $551.2 $503.1 $48.1 9.6%
Trauma $3.6 $0.4 $3.2 830.2%
Orthobiologics $15.1 $13.6 $1.6 11.6%
Total $573.7 $517.0 $56.7 11.0%

*Acquired Stelkast in 2Q19

ORTHOWORLD estimates sales by geographic region as follows ($MM).

  3Q19 3Q18 $ Chg % Chg
US $162.7 $139.1 $23.6 17.0%
Ex-US $33.5 $30.1 $3.4 11.2%
Total $196.2 $169.2 $27.0 15.9%

Net earnings, inclusive of all Stryker revenue, are as follows ($MM).

  Amt % of Sales
Sales $196.2  
   Cost of Sales -$45.4 23.1%
   R & D -$14.5 7.4%
   Selling and Admin -$88.5 45.1%
   Other -$9.6 4.9%
Net Earnings $38.3 19.5%

Mike Evers is ORTHOWORLD’s Market Analyst. He can be reached by email.

 

This article is a Member-only item of content. Members, please log in to read the complete post.
If you are not yet a Member, click here to learn more about purchasing ORTHOWORLD Membership.