Castel St. Pietro, Switzerland-based orthopedic device company Medacta reported March 30 a slight revenue drop in 2020 and said it plans to expand its sales force this year.
"During an unprecedented year affected by the global COVID-19 pandemic, we were nevertheless able to deliver a very positive performance with an increase of our market shares as well as strong profitability and cash flow, while remaining committed to investing in our future growth," Francesco Siccardi, CEO of Medacta, said in a company news release.
The company will propose to shareholders not distributing a dividend and instead reinvesting in growth at its annual meeting May 25.
Five details:
1. Medacta's revenue hit $355 million in 2020, a 2.6 percent year-over-year drop. Profit for the year was $43.6 million.
2. Hip and knee sales dropped to $179.7 million last year, reflecting 6.1 percent lower hip sales and 4.1 percent lower knee sales.
3. Medacta's spine line revenue was up 14.6 percent last year, to $33.9 million. The company launched new products last year and expanded its sales force to gain market share in the U.S.
4. Extremities revenue, including shoulder and sports medicine products, grew 46.6 percent last year to hit $16.8 million.
5. The company anticipates 2021 revenue will grow to $390.88 million to $408.49 million. "We are confident that the impact of COVID-19 vaccines and potential subsidence of the pandemic can enable us to build upon our 2020 achievements and return to a path of growth in 2021," said Mr. Siccardi.