Alphatec Holdings Inc (ATEC) Reports 32% Revenue Growth in Q3 2023, Raises Full Year EBITDA Guidance
Alphatec Holdings Inc (NASDAQ:ATEC) reported a 32% increase in total revenue to $118 million in Q3 2023.
The company's surgical revenue also grew by 32% to $104 million while EOS revenue increased by 30% to $14 million.
ATEC delivered a positive adjusted EBITDA of over $2 million and raised its full-year 2023 adjusted EBITDA guidance.
The company ended the quarter with a cash balance of $123 million.
Alphatec Holdings Inc (NASDAQ:ATEC), a provider of innovative solutions for spine surgery, announced its financial results for the third quarter ended September 30, 2023, on November 6, 2023. The company reported a significant increase in total revenue, surgical revenue, and EOS revenue, reflecting a strong financial performance.
Financial Highlights
ATEC's total revenue for the third quarter of 2023 was $118 million, marking a 32% increase. The company's surgical revenue also grew by 32% to $104 million, and EOS revenue increased by 30% to $14 million. The company reported a GAAP gross margin of 68% and a non-GAAP gross margin of 72%. However, ATEC reported a GAAP operating loss of $38 million.
The company also delivered a positive adjusted EBITDA of over $2 million and ended the quarter with a cash balance of $123 million. ATEC's recent highlights include a 24% increase in surgical volume, a 6% increase in average revenue per procedure, and a second quarter of positive adjusted EBITDA with 860 basis points of margin expansion.
Company's Outlook
For the full year 2023, ATEC expects total revenue to grow 35% to $472 million, including surgical revenue of $414 million and EOS revenue of $58 million. The company has also raised its non-GAAP adjusted EBITDA guidance to approximately $3 million for the full year 2023.
CEO's Commentary
Were pleased with our achievements in the third quarter, and even more excited about whats ahead for ATEC, said Pat Miles, Chairman and Chief Executive Officer. Our recent capital raise positions us exceptionally well to exploit the momentum that unprecedented industry disruption is unleashing. We are boldly leaning into the opportunity ahead, accelerating investment to equip our new teams of tenured sales professionals to serve surgeries with the operational excellence that ATEC is renowned for. Our best is yet to come.
Alphatec Holdings Inc (NASDAQ:ATEC) continues to revolutionize the approach to spine surgery through its innovative solutions and is dedicated to achieving the goals of spine surgery more safely and reproducibly.
Explore the complete 8-K earnings release (here) from Alphatec Holdings Inc for further details.
This article first appeared on GuruFocus.
