
- Posted in Business Critical | August 05, 2013 | Comments (0)
- Tags: Financials, orthopedic market
- By: Julie A. Vetalice
Revenue for companies that have reported 2Q to date is presented below. Exhibit 1 displays orthopaedic sales growth by product segment for the quarter, and performance highlights follow.
Exhibit 1 displays orthopaedic sales growth by product segment for the quarter, and performance highlights follow.
Biomet (FY2013 ended 5/31/13; reporting is preliminary)
$3,052.9MM, +9% (U.S. $1,862.2MM, +9%; Europe $710.2MM, +5%; International $480.5MM, +19%)
Reconstructive $1,696.3MM, +2%
- Hips +2%
- Knees +1%
- Bone Cement/Other +2%
Sports/Extremities Trauma $600.1MM, +68%
- SportsMed +8%
- Extremities +20%
- Trauma +259%
Spine/Bone Healing $291.3MM, -5%
- Spine +1%
- Bone Healing -21%
Dental $257.0MM, -2%
Other $208.2MM, +4%
- Divested bracing business to Breg in February 2013
- FY2014 launches include patient-specific tibial trays and posterior-stabilized thermal components, new Soft Anchor midway through fiscal year, expansion to ACL portfolio, bone-conserving comprehensive Nano shoulder in Europe
FY4Q13 revenue:
$783.9MM, +8% (U.S. $466.3MM, +6%; Europe $188.7MM, +5%; International $128.9MM, +17%)
Reconstructive $435.2MM, +1% (U.S. +1%)
- Hips +2% (U.S. +2%)
- Knees +0.1% (U.S. +0.1%)
- Bone Cement/Other -1% (U.S. -3%)
Sports/Extremities Trauma $159.2MM, +65% (U.S. +56%)
- SportsMed +1% (U.S. -4%)
- Extremities +22% (U.S. +28%)
- Trauma +267% (U.S. +249%)
Spine/Bone Healing $67MM, -18% (U.S. -19%)
- Spine -8% (U.S. -8%)
- Bone Healing -48% (U.S. -48%)
Dental $68.5MM, +0.2% (U.S. +2%)
Other $54MM, +7% (U.S. +2%)
Recon
- Double-digit combined hip/knee growth in both Japan and China
- Worldwide hip/knee pricing declined in lowsingle-digits
- Continued rollout of Taperloc Complete hips, including full-length and microplasty short stem,
- plus XR 123 option featuring same stem geometry with 123-degree neck angle and shorter neck
- Commenced limited ex-U.S. launch for Sirius double-tapered short hip stem for primary/revision
- ~450 G7 next-gen multi-bearing acetabular cup procedures complete, to date
- Launched SSK 360 in Japan, as well as Vanguard Select patient-specific femur
- Noted increased market penetration for Signature total and partial knees and Orthosize digital x-ray templating software
- Slight decline in global partial knees
- Initiated U.S. direct-to-consumer T.V. ad supporting Oxford Partial Knee’s lifetime warranty
Cement/Other
- Strong EMEA market demand for Optipac prefilled cement mixing system
- Received Japan regulatory approval for Cobalt cement, 1st entry into bone cement market there
Extremities
- Extremities driven by comprehensive shoulder (includes primary, reverse, fracture and segmental revision options)
- Initiated global launch of Access instrumentation for glenoid preparation, releasing 150 sets, with 100 additional slated for each month during 1HFY14
Trauma
- Launched DVR Crosslock ePAK delivery system
Spine
- Hardware impacted by mid-single-digit price decline
- Introduced Translation pedicle screw with Polaris 5.5 Thoracolumbar spine system via limited clinical release
(Growth includes trauma acquisition and bracing divestiture)
Biomet has not yet filed its 10-Q.
ConMed
Orthopaedic surgery product sales $101.8MM, -1%
- Sports Medicine -3% (Sports Biologics +4%)
- Powered Surgical -1%
- Sports Med affected by foreign currency effects, government-imposed limits on procedures/ spending in Europe (especially the U.K.), discontinued line of craniofacial devices (posted <$1MM in 2Q12, none in 2Q13)
- Lithium ion battery, launched at AAOS, performing extremely well; can take market share in Europe
- Note: Surgical visualization products previously included under Arthroscopy category are broken out separately, as video systems can be used in both general and orthopaedic surgery
DJO Global
$294.7MM, +3%
- Bracing/Vascular $119.4MM, +5%
- Recovery Sciences $77.2MM, -8%
- International $76.8MM, +8%
- Surgical Implant $21.4MM, +18%
(Bracing and Vascular includes products serving the diabetes market.)
- Bracing/Vascular buoyed by new products, including Aircast AirSelect walking boot
- Recovery Sciences still impacted by 2012 Medicare non-coverage decision on Transcutaneous Electrical Nerve Stimulation for low back pain, slow market for capital equipment purchase
- Surgical Implant driven by shoulder arthroplasty, which grew 25%+; hip and knee growing ahead of market
- Noting significant growth headwinds in joint reconstruction sector
- In 3Q, launched Empi Phoenix muscle stimulator for total knee and ACL recovery, addresses muscle atrophy