Orthofix reported third quarter 2014 financial reports — finally filing restated financial statements.
"We are pleased to have completed the extensive technical accounting work reflected in the restated financial statements we filed today," said President and CEO Brad Mason. "Despite this distraction, the underlying businesses remain solid as reflected in our financial and operating performance in the third quarter. Additionally, our year-to-date cash flow generation continued to strengthen our balance sheet and financial position."
Here are eight things to know:
1. The net sales were $101 million, a 10 percent increase from the same period last year.
2. The net income for the third quarter was $28,000, up from a $16.5 million net loss from continuing operations in the same period of 2013.
3. The adjusted net income from continuing operations for the third quarter of 2014 was $3.3 million, or $0.17 per diluted share. This is down from $4 million in the same period of 2013.
4. The Biologics SBU net sales increased to $13.9 million. The increase was 5.3 percent over the same period in 2013. The growth was driven by an expanded sales channel and continued conversion to the company's next generation cell-based bone growth tissue technology Trinity ELITE.
5. The Extremity Fixation SBU net sales increased 11.7 percent to $27.6 million in the third quarter of 2014. Expanded product launches and international sales improvement drove the increase.
6. The Spine Fixation SBU net sales were down 8.6 percent to $21.2 million in the third quarter of 2014. The decrease was primarily due to the loss of sales momentum from reorganizing the sales force in late 2013 through the second quarter of 2014 to improve profitability.
7. The BioStim strategic business unit net sales were up 24.8 percent to $38.3 million in the third quarter of 2014 compared to the same period last year. The increase was primarily due to the 2013 third party payer revenue reduction driven by the company's transition during the 2013 third quarter.
8. Research and development expense increased $200,000 in the third quarter of 2014 to $6.6 million.