SeaSpine Holdings (NSDQ:SPNE) posted first-quarter results that beat the revenue consensus on Wall Street but missed on earnings.
The company reported losses of -$12.6 million, or -48¢ per share on sales of $36.1 million for the three months ended March 31, for a sales loss of -0.1% compared with Q1 2019.
Earnings per share were -48¢, 9¢ behind The Street where analysts were looking for sales of $35.9 million.
“During these unprecedented times, we are focused on protecting our employees’ health and safety while reducing costs for non-critical expenses and programs. Despite a strong start to the year, the deferral of most spinal-deformity, revision, and back pain surgeries significantly impacted our business in March and continued to do so through April and into May. We are working closely with our surgeon advisors and key U.S. distributors to determine the expected timing for the return of spinal surgery procedures, and are encouraged by SeaSpine’s strong presence in many of the geographies that have begun to ease restrictions on these surgeries, or are considering it in the near term,” president and CEO Keith Valentine said in a news release.
“While we temporarily deferred certain investments originally planned for 2020, we prioritized the most critical product development initiatives and introductions to satisfy expected procedural mix later this year. Ultimately, we are focused on maintaining the culture and operational readiness to emerge from the pandemic stronger than ever.”
SeaSpine withdrew its annual guidance for 2020 due to uncertainties surrounding the COVID-19 pandemic. The company said it is unable to accurately estimate the impact of the pandemic on its future operations and financial results.
Shares in SPNE were up 4.34% to $10.57 apiece in afternoon trading. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — was up 1.9%.