Alachua, Fla.-based RTI Surgical posted profits of $2.9 million, or 4¢ per share, on sales of $69.1 million for the three months ended Sept. 30, for a bottom-line slide of -82.3% on sales growth of 3.6% compared with Q3 2017.
Adjusted to exclude one-time items, earnings per share were 3¢, two pennies above The Street, where analysts were looking for sales of $68.6 million.
“The strength of our third-quarter results underscores the substantial ongoing progress we are making across our strategic transformation and the growing momentum throughout the company,” president & CEO Camille Farhat said in prepared remarks. “Our spine franchise produced excellent results aided by growth in recently introduced products, and our OEM franchise continued its strong performance. Our operational excellence initiatives are taking hold throughout the organization, helping to further reduce costs and instill a culture of continuous improvement. Overall, with our seventh consecutive quarter of meeting or exceeding our commitments, our team is executing effectively on many fronts and we have increased our focus on accelerating growth with investments in both organic and inorganic activities.
“We firmly believe our strategic transformation is well underway. Our teams are aligned with common purpose and intense focus on achieving our considerable potential. Given the ongoing success of our efforts to reduce complexity and drive operational excellence, we are focused on accelerating growth by further developing our R&D capabilities, pursuing M&A activities, and ensuring we continue to deliver on our commitments,” Farhat said.
RTI lowered the top end of its earnings guidance, saying it now expects to log adjusted EBITDA of $32 million to $35 million, compared with $32 million to $38 million previously, and guided to the low end of its prior $280 million to $290 million outlook.
RTIX shares were up 1.8% to $4.66 apiece today in mid-day trading.