After a year of delaying financial reports, Orthofix released expectations for the 2014 net sales, which are reported at $397 million to $401 million.
The company expects 2013 full year net sales to reach $397 million after restatement adjustments. The estimated net sales for 2014 in the various service lines as:
• BioStim: $152 million to $153 million — 5 percent to 6 percent growth
• Biologics: $55 million to $56 million — 2 percent to 4 percent growth
• Extremities fixation: $109 million to $110 million — 6 percent to 7 percent growth
• Spine fixation: $81 million to $82 million — 14 percent to 15 percent decline
Total net sales for 2014 were relatively flat over 2013. The company had $71 million in cash and restricted cash at the end of 2014, and no outstanding debt under its credit facility. The company continues to prepare restated financial statements for 2011, 2012 and 2013, and has been completing physical inventory counts on consignment with distributors and hospitals to resolve outstanding issues.
Historical reserve estimates could change as the company re-evaluates for "excess and obsolete" inventory. The company is seeking an additional extension from its credit agreement lenders and Nasdaq Hearings Panel for extra time to complete filings before the panel takes place.
Orthofix hopes to complete filings by Feb. 27 with the new deadline. The current deadline is Jan. 15.