Copy to clipboard 
SeaSpine leveraged newer spine and biologics products to grow in the high single digits amid increased case volume in 2Q19.
- Increased 2019 revenue guidance by $1MM at both the high and low ends, bringing range to $155MM to $157MM
- Case volume increased by about 10%, but was somewhat offset by low single-digit price decline and procedure mix heavier on low-complexity cases
- Spine revenue growth driven by new products, particularly the Shoreline and Mariner systems along with NanoMetalene-based products
- Orthobiologics revenue growth driven by new products such as OsteoStrand Plus
- Newer products accounted for 55% of spine revenue and 20% of orthobiologics revenue
- Mariner Outrigger Revision system and Shoreline cervical interbody implant are both in limited commercial launch, while OsteoCurrent ceramic bone graft substitute and Regatta Lateral System are in full commercial launch
- Company marked the 20,000th implant of the NanoMetalene interbody device
- Products treating complex pathologies and deformities posted lower than expected revenue, though leadership believes new product introductions will turn the franchise around starting late in the second half
Performance by Segment
ORTHOWORLD estimates segment sales and growth on an as-reported basis, as follows ($MM):
| 2Q19 | 2Q18 | $ Chg | % Chg | |
| Spine | $19.3 | $17.8 | $1.5 | 8.4% |
| Orthobiologics | $20.1 | $18.6 | $1.4 | 7.6% |
| Total | $39.3 | $36.4 | $2.9 | 8.0% |
| 1H19 | 1H18 | $ Chg | % Chg | |
| Spine | $36.4 | $33.0 | $3.4 | 10.3% |
| Orthobiologics | $39.1 | $36.6 | $2.4 | 6.7% |
| Total | $75.5 | $69.6 | $5.8 | 8.4% |
Sales by Geographic Region
ORTHOWORLD estimates geographic sales and growth as follows ($MM):
| 2Q19 | 2Q18 | $ Chg | % Chg | |
| US | $35.1 | $32.6 | $2.4 | 7.5% |
| Ex-US | $4.2 | $3.8 | $0.5 | 12.3% |
| Total | $39.3 | $36.4 | $2.9 | 8.0% |
Net Earnings Data
Net earnings, inclusive of all revenue, are as follows.
| Amt | % of Sales | |
| Sales | $39.3 | |
| Â Â Cost of Sales | -$14.3 | 36.4% |
| Â Â Selling and Admin | -$27.6 | 70.2% |
| Â Â R & D | -$3.6 | 9.1% |
| Â Â Other | -$5.8 | 14.8% |
| Net Earnings | -$12.0 | -30.6% |
Sources: SeaSpine
Mike Evers is ORTHOWORLD’s Market Analyst. He can be reached by email.
SeaSpine leveraged newer spine and biologics products to grow in the high single digits amid increased case volume in 2Q19.
Increased 2019 revenue guidance by $1MM at both the high and low ends, bringing range to $155MM to $157MM
Case volume increased by about 10%, but was somewhat offset by low single-digit price decline...
SeaSpine leveraged newer spine and biologics products to grow in the high single digits amid increased case volume in 2Q19.
- Increased 2019 revenue guidance by $1MM at both the high and low ends, bringing range to $155MM to $157MM
- Case volume increased by about 10%, but was somewhat offset by low single-digit price decline and procedure mix heavier on low-complexity cases
- Spine revenue growth driven by new products, particularly the Shoreline and Mariner systems along with NanoMetalene-based products
- Orthobiologics revenue growth driven by new products such as OsteoStrand Plus
- Newer products accounted for 55% of spine revenue and 20% of orthobiologics revenue
- Mariner Outrigger Revision system and Shoreline cervical interbody implant are both in limited commercial launch, while OsteoCurrent ceramic bone graft substitute and Regatta Lateral System are in full commercial launch
- Company marked the 20,000th implant of the NanoMetalene interbody device
- Products treating complex pathologies and deformities posted lower than expected revenue, though leadership believes new product introductions will turn the franchise around starting late in the second half
Performance by Segment
ORTHOWORLD estimates segment sales and growth on an as-reported basis, as follows ($MM):
| 2Q19 | 2Q18 | $ Chg | % Chg | |
| Spine | $19.3 | $17.8 | $1.5 | 8.4% |
| Orthobiologics | $20.1 | $18.6 | $1.4 | 7.6% |
| Total | $39.3 | $36.4 | $2.9 | 8.0% |
| 1H19 | 1H18 | $ Chg | % Chg | |
| Spine | $36.4 | $33.0 | $3.4 | 10.3% |
| Orthobiologics | $39.1 | $36.6 | $2.4 | 6.7% |
| Total | $75.5 | $69.6 | $5.8 | 8.4% |
Sales by Geographic Region
ORTHOWORLD estimates geographic sales and growth as follows ($MM):
| 2Q19 | 2Q18 | $ Chg | % Chg | |
| US | $35.1 | $32.6 | $2.4 | 7.5% |
| Ex-US | $4.2 | $3.8 | $0.5 | 12.3% |
| Total | $39.3 | $36.4 | $2.9 | 8.0% |
Net Earnings Data
Net earnings, inclusive of all revenue, are as follows.
| Amt | % of Sales | |
| Sales | $39.3 | |
| Â Â Cost of Sales | -$14.3 | 36.4% |
| Â Â Selling and Admin | -$27.6 | 70.2% |
| Â Â R & D | -$3.6 | 9.1% |
| Â Â Other | -$5.8 | 14.8% |
| Net Earnings | -$12.0 | -30.6% |
Sources: SeaSpine
Mike Evers is ORTHOWORLD’s Market Analyst. He can be reached by email.
You are out of free articles for this month
Subscribe as a Guest for $0 and unlock a total of 5 articles per month.
You are out of five articles for this month
Subscribe as an Executive Member for access to unlimited articles, THE ORTHOPAEDIC INDUSTRY ANNUAL REPORT and more.
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.
