OrthoPediatrics Q3 2022 Earnings Report
Key Takeaways
OrthoPediatrics Corp. reported a 39% increase in revenue for the third quarter of 2022, reaching $35.0 million compared to $25.1 million in the same period last year. This growth includes contributions from recent acquisitions MD Ortho and Pega Medical. The company's net income for the quarter was $18.5 million, a significant improvement from the net loss of $2.2 million in the third quarter of 2021.
Total revenue reached $35.0 million, a 39% increase year-over-year.
Worldwide Trauma & Deformity revenue grew by 42%, Scoliosis revenue increased by 37%, and Sports Medicine/Other revenue grew by 8%.
The company completed the acquisition of Pega Medical and a follow-on public offering, raising $144 million.
Net income for the third quarter of 2022 was $18.5 million, compared to a net loss of $2.2 million for the same period last year.
OrthoPediatrics
OrthoPediatrics
OrthoPediatrics Revenue by Segment
OrthoPediatrics Revenue by Geographic Location
Forward Guidance
For full year 2022, the Company now expects its full year revenue to be in the range of $124 million to $125 million, updated from its previous guidance range of $127 million to $130 million, representing growth of 26% to 27% over 2021 revenue.
Positive Outlook
- Full year revenue expected to be in the range of $124 million to $125 million.
- Represents growth of 26% to 27% over 2021 revenue.
- Full year revenue, excluding recent acquisitions, expected to be in the range of $113 million to $114 million.
- Represents growth of 15% to 16% over 2021 revenue.
- Annual set deployment to be in a range of $20 million to $24 million.
Challenges Ahead
- Previous revenue guidance range was $127 million to $130 million.
- Assumes roughly $11 million of combined revenue contribution from MD Ortho and Pega Medical.
- Pediatric orthopedic market faced additional headwinds beyond continued staffing shortages.
- RSV infections acutely impacted case volumes in certain regions
- No other negative guidance was provided
Revenue & Expenses
Visualization of income flow from segment revenue to net income