ZimVie
(Nasdaq: ZIMV)
shares ticked up this morning on third-quarter results that topped the consensus forecast.
Shares of ZIMV rose 1% at $6.80 apiece just after the market opened today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — ticked up 1.1%.
The (LOCATION)-based company posted losses of $5.1 million in the quarter. That equals 19¢ per share on sales of $202.9 million for the three months ended Sept. 30, 2023.
ZimVie recorded a nearly $6 million bottom-line slide into the red on a sales decline of 4.9%.
Adjusted to exclude one-time items, earnings per share came in at 8¢. That landed 10¢ ahead of expectations on Wall Street. ZimVie also posted a revenue beat as analysts forecast sales of $198.5 million.
The company reported third-party spine sales decreasing by nearly 10% year-over-year. It attributed that dip to competitive pressures, the exit of its spine activities in China and one less selling day.
ZimVie said its net loss was primarily due to lower net sales and higher cost of products in the spine category. Operating expense savings thanks to restructuring partially offset those losses.
“In the third quarter, we continued to make progress on our innovation platform as we work to actively reshape our portfolio and further penetrate into the markets with the best long-term growth potential,” said Vafa Jamali, ZimVie president and CEO. “In parallel, we are improving our operating efficiency and working to increase our cash position.”
ZimVie now expects sales to range between $860 million and $870 million for the full year. That marks a $10 million rise on the low end of its previous projections. Similarly, the company increased the low end of its adjusted EPS projections by 10¢. It now expects between 60¢ and 70¢.
