11.02.23
ZimVie Inc., a global life sciences leader in the dental and spine markets, has reported financial results for the third quarter ended September 30, 2023.
“In the third quarter, we continued to make progress on our innovation platform as we work to actively reshape our portfolio and further penetrate into the markets with the best long-term growth potential,” said Vafa Jamali, President and Chief Executive Officer. “In parallel, we are improving our operating efficiency and working to increase our cash position.”
In August, ZimVie’s Mobi-C Cervical Disc was approved by the FDA. In October, the first patient in the United States received the newly approved 4.5mm Mobi-C Cervical Disc.
Net loss for the third quarter of 2023 was ($5.1) million, a change of ($5.9) million versus net income of $0.8 million in the third quarter of 2022, and as a percentage of third party net sales was (2.5%). The increase in net loss was primarily due to lower net sales and higher cost of products sold in the spine products category due to the release of a spin-related contingent liability in the prior year, partially offset by operating expense savings in the dental and spine product categories from the announced restructuring and other cost reduction initiatives.
Adjusted net income for the third quarter of 2023 was $2.2 million, a decrease of ($10.7) million versus the same prior year period.
The company now projects its full year net sales to be between $850 million and $870 million.
“In the third quarter, we continued to make progress on our innovation platform as we work to actively reshape our portfolio and further penetrate into the markets with the best long-term growth potential,” said Vafa Jamali, President and Chief Executive Officer. “In parallel, we are improving our operating efficiency and working to increase our cash position.”
In August, ZimVie’s Mobi-C Cervical Disc was approved by the FDA. In October, the first patient in the United States received the newly approved 4.5mm Mobi-C Cervical Disc.
Third Quarter 2023 Financial Results
Third party net sales for the third quarter of 2023 were $202.9 million, a decrease of (4.9%) on a reported basis and (5.0%) on a constant currency basis, versus the third quarter of 2022.- Third party dental sales of $105.3 million grew 0.2% on a reported basis and declined (1.2%) on a constant currency basis, primarily driven by one less selling day in the third quarter of 2023 versus the third quarter of 2022 impacting global dental sales by (1.6%).
- Third party spine sales of $97.6 million decreased by ($10.6) million, or (9.8%) on a reported basis and (8.9%) on a constant currency basis, primarily driven by continued competitive pressures, lower net sales due to our exit of spine products activities in China impacting global spine sales by (2.6%), and one less selling day impacting global spine sales by (1.4%).
Net loss for the third quarter of 2023 was ($5.1) million, a change of ($5.9) million versus net income of $0.8 million in the third quarter of 2022, and as a percentage of third party net sales was (2.5%). The increase in net loss was primarily due to lower net sales and higher cost of products sold in the spine products category due to the release of a spin-related contingent liability in the prior year, partially offset by operating expense savings in the dental and spine product categories from the announced restructuring and other cost reduction initiatives.
Adjusted net income for the third quarter of 2023 was $2.2 million, a decrease of ($10.7) million versus the same prior year period.
The company now projects its full year net sales to be between $850 million and $870 million.