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Paragon 28 reported 1Q23 orthopedic sales of $52 million, +25.8% compared to the first quarter of 2022.
The company’s record-setting first quarter saw U.S. growth of 20% or better in all five subsegments within foot and ankle. Paragon 28 served more than 2,000 surgeons during the quarter, a 12% increase compared to the prior year, while also driving revenue increases with existing customers.
The number of producing reps increased 18% in the quarter, to a total of 247. Revenue per producing rep increased by mid-single-digits, annualizing to $700,000 per producing rep.
Paragon 28 expects to execute a limited launch of the first modules of its Smart 28 enabling technology platform late in 2023 or early in 2024. The module will be a reflection of the technology acquired from Disior and be representative of Paragon 28’s plans for the overall Smart 28 ecosystem.
“I think it’s going to give us pretty good visibility to what that type of enabling technology is going to look like,” said Paragon 28 CEO Albert DaCosta of the upcoming launch. “We have made no secret that we think enabling technology is giving us better visibility in the planning phases of surgery, in the diagnosing phases of surgery, and even predicting outcome phase that we expect that to contribute in a meaningful way to improve the outcomes for patients. We think the foot and ankle market desperately needs that.”
Despite the fast start to the year, the company reaffirmed its previous guidance of growth between 18% and 20%. Paragon 28 expects more normal seasonality and procedure volumes in 2023 but said it is remaining prudent given the uncertainties of the macroeconomic environment.
Orthopedic Sales Data
All orthopedic sales data is provided in USD millions unless otherwise noted. We estimate orthopedic sales and growth on an as-reported basis.
Orthopedic Sales by Segment
| 1Q23 | 1Q22 | $ Chg | % Chg | |
|---|---|---|---|---|
| Extremity Joint Replacement | $2.6 | $1.5 | $1.1 | 74.7% |
| Trauma | $44.8 | $36.4 | $8.3 | 22.8% |
| Sports Medicine | $2.1 | $1.6 | $0.5 | 29% |
| Orthobiologics | $2.6 | $1.8 | $0.8 | 42.9% |
| Total | $52.0 | $41.4 | $10.7 | 25.8% |
Orthopedic Sales by Geography
| 1Q23 | 1Q22 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $45.0 | $36.0 | $9.0 | 24.9% |
| OUS | $7.1 | $5.3 | $1.7 | 31.9% |
| Total | $52.0 | $41.4 | $10.7 | 25.8% |
Company Earnings
| Amt | % of Sales | |
|---|---|---|
| Sales | $52.0 | |
| Cost of Sales | $8.9 | 17.1% |
| R & D | $43.8 | 84.2% |
| Selling and Admin | $7.0 | 13.5% |
| Other | $1.3 | 2.5% |
| Net Earnings | ($9.1) | (17.4%) |
Paragon 28 reported 1Q23 orthopedic sales of $52 million, +25.8% compared to the first quarter of 2022.
The company's record-setting first quarter saw U.S. growth of 20% or better in all five subsegments within foot and ankle. Paragon 28 served more than 2,000 surgeons during the quarter, a 12% increase compared to the prior year, while...
Paragon 28 reported 1Q23 orthopedic sales of $52 million, +25.8% compared to the first quarter of 2022.
The company’s record-setting first quarter saw U.S. growth of 20% or better in all five subsegments within foot and ankle. Paragon 28 served more than 2,000 surgeons during the quarter, a 12% increase compared to the prior year, while also driving revenue increases with existing customers.
The number of producing reps increased 18% in the quarter, to a total of 247. Revenue per producing rep increased by mid-single-digits, annualizing to $700,000 per producing rep.
Paragon 28 expects to execute a limited launch of the first modules of its Smart 28 enabling technology platform late in 2023 or early in 2024. The module will be a reflection of the technology acquired from Disior and be representative of Paragon 28’s plans for the overall Smart 28 ecosystem.
“I think it’s going to give us pretty good visibility to what that type of enabling technology is going to look like,” said Paragon 28 CEO Albert DaCosta of the upcoming launch. “We have made no secret that we think enabling technology is giving us better visibility in the planning phases of surgery, in the diagnosing phases of surgery, and even predicting outcome phase that we expect that to contribute in a meaningful way to improve the outcomes for patients. We think the foot and ankle market desperately needs that.”
Despite the fast start to the year, the company reaffirmed its previous guidance of growth between 18% and 20%. Paragon 28 expects more normal seasonality and procedure volumes in 2023 but said it is remaining prudent given the uncertainties of the macroeconomic environment.
Orthopedic Sales Data
All orthopedic sales data is provided in USD millions unless otherwise noted. We estimate orthopedic sales and growth on an as-reported basis.
Orthopedic Sales by Segment
| 1Q23 | 1Q22 | $ Chg | % Chg | |
|---|---|---|---|---|
| Extremity Joint Replacement | $2.6 | $1.5 | $1.1 | 74.7% |
| Trauma | $44.8 | $36.4 | $8.3 | 22.8% |
| Sports Medicine | $2.1 | $1.6 | $0.5 | 29% |
| Orthobiologics | $2.6 | $1.8 | $0.8 | 42.9% |
| Total | $52.0 | $41.4 | $10.7 | 25.8% |
Orthopedic Sales by Geography
| 1Q23 | 1Q22 | $ Chg | % Chg | |
|---|---|---|---|---|
| US | $45.0 | $36.0 | $9.0 | 24.9% |
| OUS | $7.1 | $5.3 | $1.7 | 31.9% |
| Total | $52.0 | $41.4 | $10.7 | 25.8% |
Company Earnings
| Amt | % of Sales | |
|---|---|---|
| Sales | $52.0 | |
| Cost of Sales | $8.9 | 17.1% |
| R & D | $43.8 | 84.2% |
| Selling and Admin | $7.0 | 13.5% |
| Other | $1.3 | 2.5% |
| Net Earnings | ($9.1) | (17.4%) |
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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.
