ZimVie (Nasdaq:ZIMV) reported mixed third-quarter results but reaffirmed its full-year guidance.
Many medical device companies have been tightening or reducing guidance amid the present macroeconomic headwinds. With ZimVie announcing yesterday evening that it was holding the line, investors reacted by sending ZIMV shares up more than 28% to $9.42 apiece in trading the next morning. In contrast, MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was up more than 3%.
The Westminster, Colorado–based spine and dental tech company earned $831,000, or 3¢ per share, off $213.3 million in revenue for the quarter that ended Sept. 30, 2022. The company lost $30.2 million, or $1.16 per share, off $238.7 million in revenue during Q3 2021.
Adjusted to exclude one-time items, ZimVie had EPS of 49¢. The adjusted earnings are 22¢ ahead of The Street, where analysts expected EPS of 27¢ on revenue of $215 million.
“I am pleased with our operational progress and the work we are doing to enhance our portfolios in both dental and spine. Our TSX and T3 Pro tapered dental implants and Encode emergence healing abutment are gaining traction, while we remain focused on innovating around our core spine platform and driving adoption of our clinically differentiated motion preservation solutions,” CEO Vafa Jamali said in a news release.
“We continue to transform the business by tactically innovating in strategic areas,” Jamali added.
ZimVie reaffirmed its guidance for third-party net sales of $915–930 million. Company officials expect the dental business to deliver mid-single-digit growth in constant currency and the spine business to decline in the low double digits in constant currency. The company is also sticking by its full-year adjusted EPS guidance of $1.80–$2.00; analysts have predicted $1.96.
This story originally ran on Nov. 9, 2022. Updated Nov. 10 with the next-day stock price.