Biomet Releases Q2 Financials

Biomet Inc., located in orthopedic device country Warsaw, Ind., has released its 2014 second quarter financial results. In summary, consolidated net sales increased 4.5 percent worldwide as compared to the same quarter last year to approximately $826 million. Knee sales for the orthopedic technology company grew 6.6 percent worldwide and 8.4 percent in the United States. Sports medicine, extremities and trauma (S.E.T.) sales increased 5.3 percent worldwide and 6.2 percent in the Unites States. The quarter also saw the competition of the Lanx acquisition as well as the launch of Biomet’s G7 acetabular system.

Consolidated net sales of $825.7 million increased 4.5 percent in the quarter, compared to net sales of $790.1 million during the second quarter of fiscal year 2013. Excluding the effect of foreign currency, consolidated net sales increased 5.4 percent during the second quarter. U.S. net sales increased 4.7 percent during the second quarter to $493.1 million, while Europe net sales increased 9.3 percent to $211.8 million and international (primarily Canada, South America, Mexico and the Pacific Rim) net sales decreased 3.7 percent to $120.8 million. On a consolidated basis Biomet had the same number of selling days during the second quarter of fiscal year 2014, compared to the prior year quarter.

Reported operating income was $113.6 million during the second quarter of fiscal year 2014, compared to operating income of $143.2 million during the second quarter of fiscal year 2013. Excluding special items, adjusted operating income totaled $241.3 million during the second quarter of fiscal year 2014, compared to $240.0 million during the prior year period.

Reported net income in the quarter was $4.9 million, compared to a net loss of $66.2 million during the second quarter of the prior year. Excluding special items, adjusted net income totaled $126.8 million during the second quarter of fiscal year 2014, compared to $103.7 million for the second quarter of fiscal year 2013.

Excluding special items, adjusted earnings before interest, taxes, depreciation and amortization during the second quarter of fiscal year 2014 totaled $293.8 million compared to $288.2 million for the second quarter of fiscal year 2013.

“We were very pleased with our broad and balanced 6 percent organic sales growth in the quarter on a constant currency basis, with strong performance across multiple product segments and geographic regions,” said Biomet’s president and CEO Jeffrey R. Binder. “We’re also delivering excellent growth in adjusted net income (excluding specials items and amortization), with an increase of 27 percent to approximately $208 million through the first half of our fiscal year.”