Shares in Globus Medical (NYSE:GMED) have fallen slightly today after the medical device maker missed earnings per share expectations, but topped revenue with its 4th quarter and full fiscal year 2016 earnings.
The Audubon, Penn.-based company posted profits of $24.3 million, or 25¢ per share, on sales of $151.6 million for the 3 months ended December 31, for a bottom-line decline of 35.4% while sales grew 6.3% compared with the same period last year.
Adjusted to exclude 1-time items, earnings per share were 31¢, just below the 33¢ consensus on Wall Street, where analysts were expecting to see sales of $149 million.
For the full year, the company posted profits of $104.3 million, or $1.08 per share, on sales of $564 million. That equates to a bottom-line decline of 7.5% while sales grew 3.5% compared with the previous fiscal year. Adjusted earnings per share clocked in at $1.19, up 5.3% from the previous year.
“Fourth quarter sales were $151.6 million, a year-over-year increase of 6.3%. Despite our increased spending in support of our pending robotics and trauma launches, our adjusted EBITDA margins was an outstanding 37.7%. We also delivered EPS of $0.25 and non GAAP EPS of $0.31. During the fourth quarter, we continued to make progress with product development, sales force development and integration of Alphatec’s international business. We also further expanded our in-house manufacturing capacity. We are proud of our innovation and product development efforts, which resulted in a total of 17 new product launches in 2016. We have addressed our sales force expansion challenges and are optimistic that we will return to more robust growth rates in the second half of 2017. We also remain confident in our long-term growth prospects and our ability to sustain industry-leading profitability by continuing to execute on our strategy of rapid product introduction, expansion of our U.S. and international sales footprints, and diligent expense control,” CEO David Paul said in a press release.
Globus Medical released outlook for the upcoming year, expecting to see revenue of $625 million and non-GAAP earnings per share of $1.27.
Shares have dipped slightly today, down 0.6% to trade at $28.42 as of 12:56 p.m. EST.