PR Newswire07.29.21
NuVasive Inc.'s finances seem to be recovering from the COVID-19 pandemic.
The company's second-quarter sales soared 44.8 percent (43.3 percent on a constant currency basis) to $294.8 million in the quarter ended June 30, 2021. The net sales results were due to recovery from the COVID-19 pandemic across all procedural segments and continued strong international growth.
GAAP operating margin was 3.6 percent; non-GAAP operating margin was 13.9 percent. Net product sales jumped 40.7 percent to $28.06 million and gross profit skyrocketed 76 percent to $216.5 million. GAAP gross margin was 73.4 percent or 73.6 percent on a non-GAAP basis, compared to GAAP and non-GAAP gross margin of 60.5 percent in the prior year period. GAAP and non-GAAP gross profit improvement was primarily driven by incremental inventory reserves taken in the second quarter of 2020 resulting from pandemic-related impacts.
GAAP diluted earnings per share of $0.03; Non-GAAP diluted earnings per share of $0.60.
"NuVasive continued to see the spine market stabilize throughout the second quarter, providing us the opportunity to help more surgeons and patients around the globe. Our continued investments in the cervical and anterior procedural segments and our international commercial organization are advancing both our near- and long-term growth strategy," said J. Christopher Barry, CEO of NuVasive. "Following our latest CE certification, the Pulse platform clinical evaluations and surgeon feedback have exceeded our expectations. The ability for multiple technologies to be utilized in a single, integrated platform enables surgeons to increase surgical reproducibility—a pivotal step in how NuVasive is transforming spine surgery."
For the second quarter 2021, GAAP net income was $1.8 million or diluted earnings per share of $0.03, compared to GAAP net loss of $50 million or diluted loss per share of $0.98 in the prior year period. Non-GAAP net income was $31.2 million or diluted earnings per share of $0.60, compared to non-GAAP net loss of $20.4 million or diluted loss per share of $0.40 in the prior year period.
Cash, cash equivalents, and investments were $204.1 million as of June 30, 2021. In April 2021, the Simplify Cervical Disc received approval from the U.S. Food and Drug Administration for two-level cervical total disc replacement, resulting in the payment of $45.8 million for the achievement of this regulatory milestone.
NuVasive announced full-year 2021 financial guidance. The company expects net sales to range between $1.19 billion and $1.21 billion; non-GAAP operating margin to fall between 14.4 percent and 14.9 percent; and non-GAAP diluted earnings per share to range from $2.25 to $2.35.
The company's second-quarter sales soared 44.8 percent (43.3 percent on a constant currency basis) to $294.8 million in the quarter ended June 30, 2021. The net sales results were due to recovery from the COVID-19 pandemic across all procedural segments and continued strong international growth.
GAAP operating margin was 3.6 percent; non-GAAP operating margin was 13.9 percent. Net product sales jumped 40.7 percent to $28.06 million and gross profit skyrocketed 76 percent to $216.5 million. GAAP gross margin was 73.4 percent or 73.6 percent on a non-GAAP basis, compared to GAAP and non-GAAP gross margin of 60.5 percent in the prior year period. GAAP and non-GAAP gross profit improvement was primarily driven by incremental inventory reserves taken in the second quarter of 2020 resulting from pandemic-related impacts.
GAAP diluted earnings per share of $0.03; Non-GAAP diluted earnings per share of $0.60.
"NuVasive continued to see the spine market stabilize throughout the second quarter, providing us the opportunity to help more surgeons and patients around the globe. Our continued investments in the cervical and anterior procedural segments and our international commercial organization are advancing both our near- and long-term growth strategy," said J. Christopher Barry, CEO of NuVasive. "Following our latest CE certification, the Pulse platform clinical evaluations and surgeon feedback have exceeded our expectations. The ability for multiple technologies to be utilized in a single, integrated platform enables surgeons to increase surgical reproducibility—a pivotal step in how NuVasive is transforming spine surgery."
For the second quarter 2021, GAAP net income was $1.8 million or diluted earnings per share of $0.03, compared to GAAP net loss of $50 million or diluted loss per share of $0.98 in the prior year period. Non-GAAP net income was $31.2 million or diluted earnings per share of $0.60, compared to non-GAAP net loss of $20.4 million or diluted loss per share of $0.40 in the prior year period.
Cash, cash equivalents, and investments were $204.1 million as of June 30, 2021. In April 2021, the Simplify Cervical Disc received approval from the U.S. Food and Drug Administration for two-level cervical total disc replacement, resulting in the payment of $45.8 million for the achievement of this regulatory milestone.
NuVasive announced full-year 2021 financial guidance. The company expects net sales to range between $1.19 billion and $1.21 billion; non-GAAP operating margin to fall between 14.4 percent and 14.9 percent; and non-GAAP diluted earnings per share to range from $2.25 to $2.35.