DJO Global‘s third-quarter losses widened on low-single-digit sales growth as the orthopedics company nears the end of a second year of restructuring.
San Diego-based DJO, which is privately held, posted losses of -$29.5 million on sales of $294.1 million for the three months ended Sept. 29, marking a red ink expansion of 30.0% on sales growth of 1.1% compared with Q3 2017.
Adjusted to exclude one-time items, including more than $21 million in restructuring charges, earnings before interest, taxes, depreciation & amortization were up 8.1% to $72.2 million.
“Our growth initiatives are working,” president & CEO Brady Shirley said in prepared remarks. “We’re seeing revenue growth return in key segments and ongoing margin expansion, evidence that our efforts are driving results, and we continue to anticipate a stronger trajectory for the remainder of our fiscal year.”
“We have made such great progress in our transformation journey. Productivity was strong again in the quarter, as it has been the last several quarters, with Adjusted EBITDA for the quarter increasing 8.1%, or 2.9 times the growth in revenue, and margins improving about 120 basis points,” added CFO/COO Mike Eklund.