Xtant Medical reported a slight drop in fourth quarter revenue as well as a net loss in 2018.
Five things to know:
1. Fourth quarter revenue was $18.3 million, dropping 5.1 percent from the same period the prior year. The company attributed the decline to lower spinal hardware implant sales.
2. The fourth quarter net loss hit $56.7 million, up considerably from the $28.4 million net loss during the four the quarter of 2017. However, the net loss would have been $4.2 million excluding non-cash impairment charges and inventory reserves.
3. Net loss for the year's end was $70.1 million, up from $52.4 million in 2017.
3. OrbiMed Advisors will amend and restate the credit facility for a $10 million investment in additional debt capital to fund Xtant Medical's working capital needs.
4. During the fourth quarter, Xtant increased the inventory reserve by $3.3 million, primarily due to an excess of spinal implant product line inventory.
5. For 2018, revenue from orthopedic product sales hit $71.8 million, down from $82.5 million in 2017.
"Our success in executing cost reductions and revitalizing our sales channel has allowed us to make significant progress in repositioning the company," said Xtant Medical Vice President of Finance and Interim CFO Greg Jensen. "The appointment of several proven sales leaders to our team is expected to further advance and expand our sales capabilities and potentially support the introduction of new products in late 2019."