Full Press Release Details
Medical Reports First Quarter 2025 Financial Results
Increases 18% Year-over-Year
Positive Net Income and $1.3 Million in Operating Cash Flow
2025 Revenue Guidance to $127 Million to $131 Million
Mont., May 12, 2025 - Xtant Medical Holdings, Inc. (NYSE American: XTNT), a global medical technology company focused on surgical
solutions for the treatment of spinal, orthopedic, and wound care disorders, today reported financial and operating results for the first
quarter ended March 31, 2025.
Quarter 2025 Financial Highlights
Browne, President and CEO of Xtant Medical, stated, "Our strong first quarter results reflect continued execution of our strategic
initiatives. We grew revenue 18% year-over-year, driven by our growth in biologics and revenue under a recently signed license agreement,
and achieved positive net income, clear indicators of our momentum. Furthermore, we delivered positive cash from operations of $1.3 million
supporting our expected growth without the need for additional external capital."
continued, "Subsequent to the end of the quarter, we successfully launched Trivium , a next-generation DBM allograft that
exemplifies our commitment to advancing the standard of care in orthobiologics. Early feedback from surgeons and distribution partners
has been highly encouraging, with initial demand reflecting strong interest in the product's handling characteristics and clinical
potential. We believe Trivium will play a key role in driving future growth as we continue to expand our higher-margin orthobiologics
Quarter 2025 Financial Results
grew 18% to $32.9 million, compared to $27.9 million for the same quarter in 2024. The increase is due primarily to additional orthobiologics
sales and licensing revenue.
margin for the first quarter of 2025 was 61.5%, compared to 62.1% for the same period in 2024. The decrease is primarily attributable
to charges for excess and obsolete inventory and inventory disposal, which were partially offset by lower product costs and greater scale.
expenses for the first quarter of 2025 totaled $19.2 million, compared to $20.8 million for the first quarter of 2024. The reduction
in operating expenses is primarily attributable to reduced compensation and commission expenses, which were partially offset by an increase
in professional fees related to sales and marketing.
income totaled $58,000, or $0.00 per share, compared to a net loss of $4.4 million, or $(0.03) per share, in the first quarter of 2024.
adjusted EBITDA for the first quarter of 2025 totaled $3.0 million, compared to an adjusted EBITDA loss of $1.0 million for the same
period in 2024. Beginning in the fourth quarter of 2024, phasing of the bargain purchase gain on sell through of inventory acquired as
part of the purchase of Surgalign Holdings' hardware and biologics business is no longer included in acquisition-related fair value
adjustments in the non-GAAP adjusted EBITDA calculation and prior period calculations as presented herein have been recast to conform
to the current presentation and calculation.
Company defines adjusted EBITDA as net income/loss from operations before depreciation, amortization and interest expense and provision
for income tax/benefit, and as further adjusted to add back in or exclude, as applicable, separation related expenses, legal settlements,
non-cash compensation, acquisition-related expense, acquisition-related fair value adjustments and unrealized foreign currency translation
gain or loss. A calculation and reconciliation of adjusted EBITDA to net income (loss) can be found in the attached financial tables.
of March 31, 2025, the Company had $5.4 million of cash and cash equivalents compared to $6.2 million as of December 31, 2024.
Medical increased revenue guidance for the full year 2025 to $127 million to $131 million, representing growth of 8% to 12%, up from
up prior guidance of $126 million to $130 million.
Medical will host a webcast and conference call to discuss first quarter 2025 financial results at 4:30 pm ET on Monday, May 12, 2025.
access the webcast, visit the following webcast link: https://www.webcaster4.com/Webcast/Page/3039/52428
access the conference call, dial 888-506-0062 within the U.S. or 973-528-0011 outside the U.S. Passcode: 828748 Conference Call Name:
Xtant Medical Q1 2025 Financial Results.
replay of the call will be available on the Investor section of the Company's website at www.xtantmedical.com.
Xtant Medical Holdings, Inc.
Medical's mission of honoring the gift of donation so that patients can live as full and complete a life as possible, is the driving
force behind the company. Xtant Medical Holdings, Inc. (www.xtantmedical.com) is a global medical technology company focused on the design,
development, and commercialization of a comprehensive portfolio of orthobiologics and spinal implant systems to facilitate spinal fusion
in complex spine, deformity and degenerative procedures. Xtant people are dedicated and talented, operating with the highest integrity
to serve our customers.
symbols and denote trademarks and registered trademarks of Xtant Medical Holdings, Inc. or its affiliates, registered as
indicated in the United States, and in other countries. All other trademarks and trade names referred to in this release are the property
of their respective owners.
supplement the Company's consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles
(GAAP), the Company uses certain non-GAAP financial measures in this release, including adjusted EBITDA. Reconciliations of the non-GAAP
financial measures used in this release to the most comparable GAAP measures for the respective periods can be found in tables later
in this release. The Company's management believes that the presentation of these measures provides useful information to investors.
These measures may assist investors in evaluating the Company's operations, period over period. Management uses the non-GAAP measures
in this release internally for evaluation of the performance of the business, including the allocation of resources. Investors should
consider non-GAAP financial measures only as a supplement to, not as a substitute for or as superior to, measures of financial performance
prepared in accordance with GAAP.
Statement Regarding Forward-Looking Statements
press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking
statements include statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include
words such as "intends," expects,'' anticipates,'' plans,''
believes,'' estimates,'' "continue," "future," will,''
"potential," "guidance," similar expressions or the negative thereof, and the use of future dates. Forward-looking
statements in this release include the Company's full year 2025 revenue guidance, its expected growth without the need for additional
external capital. and the statement that it believes Trivium will play a key role in driving future growth as the Company continues
to expand its higher-margin orthobiologics portfolio. The Company cautions that its forward-looking statements by their nature involve
risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, among others:
the Company's future operating results and financial performance; its ability to increase or maintain revenue; the Company's
ability to become operationally self-sustaining and less reliant on third-party manufacturers and suppliers; risks associated with its
acquisitions and the integration of those businesses; anticipated continued shortages of stem cells which may adversely affect future
revenues; its ability to implement successfully future growth initiatives and risks associated therewith; possible future impairment
charges to long-lived assets and goodwill and write-downs of excess inventory; the ability to remain competitive; the ability to innovate,
develop and introduce new products and the success of those products; the ability to engage and retain new and existing independent distributors
and agents and qualified personnel and the Company's dependence on key independent agents for a significant portion of its revenue;
the effect of labor and hospital staffing shortages on the Company's business, operating results and financial condition, especially
when they affect key markets; the effect of tariffs, inflation, increased interest rates, and other recessionary factors and supply chain
disruptions; the effect of product sales mix changes on the Company's financial results; government and third-party coverage and
reimbursement for Company products; the ability to obtain and maintain regulatory approvals and comply with government regulations; the
effect of product recalls, defects and liability claims and other litigation to which the Company may be subject; the ability to license
certain of the Company's intellectual property on commercially reasonable terms and to maintain any such licenses; the ability
to obtain and protect Company intellectual property and proprietary rights and operate without infringing the rights of others; risks
associated with the Company's clinical trials; international risks; the ability to service Company debt, comply with its debt covenants
and access additional indebtedness; the ability to maintain sufficient liquidity to fund its operations and obtain financing on favorable
terms or at all; and other factors. Additional risk factors are contained in the Company's Annual Report on Form 10-K for the year
ended December 31, 2024 filed with the Securities and Exchange Commission (SEC) on March 6, 2025. Investors are encouraged to read the
Company's filings with the SEC, available at www.sec.gov, for a discussion of these and other risks and uncertainties. The Company
undertakes no obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after
the date hereof or to reflect the occurrence of unanticipated events, except as required by law. All forward-looking statements attributable
to the Company or persons acting on its behalf are expressly qualified in their entirety by this cautionary statement.
MEDICAL HOLDINGS, INC.
Consolidated Balance Sheets
thousands, except number of shares and par value)
| As of March 31, 2025 | As of December 31, 2024 | |||||||
| ASSETS | ||||||||
| Current Assets: | ||||||||
| Cash and cash-equivalents | $ | 5,032 | $ | 6,199 | ||||
| Restricted cash | 403 | 22 | ||||||
| Trade accounts receivable, net of allowance for credit losses of $1,705 and $1,437, respectively | 23,476 | 20,660 | ||||||
| Inventories | 38,812 | 38,634 | ||||||
| Prepaid and other current assets | 1,421 | 1,601 | ||||||
| Total current assets | 69,144 | 67,116 | ||||||
| Property and equipment, net | 10,726 | 10,131 | ||||||
| Right of use asset, net | 736 | 829 | ||||||
| Goodwill | 7,302 | 7,302 | ||||||
| Intangible assets, net | 7,924 | 8,356 | ||||||
| Other assets | 1 | 103 | ||||||
| Total Assets | $ | 95,833 | $ | 93,837 | ||||
| LIABILITIES & STOCKHOLDERS' EQUITY | ||||||||
| Current Liabilities: | ||||||||
| Accounts payable | $ | 7,121 | $ | 7,918 | ||||
| Accrued liabilities | 10,492 | 7,771 | ||||||
| Current portion of lease liability | 646 | 703 | ||||||
| Current portion of finance lease obiligations | 61 | 69 | ||||||
| Line of credit | 11,261 | 12,120 | ||||||
| Total current liabilities | 29,581 | 28,581 | ||||||
| Long-term Liabilities: | ||||||||
| Lease liability, net | 121 | 166 | ||||||
| Financing lease obligations, net | 39 | 47 | ||||||
| Long-term debt, plus premium and less issuance costs | 22,167 | 22,038 | ||||||
| Deferred tax liability | 48 | 42 | ||||||
| Total Liabilities | 51,956 | 50,874 | ||||||
| Stockholders' Equity | ||||||||
| Preferred stock, $0.000001 par value; 10,000,000 shares authorized; no shares issued and outstanding | - | - | ||||||
| Common stock, $0.000001 par value; 300,000,000 shares authorized; 139,082,174 shares issued and outstanding as of March 31, 2025 and 139,045,664 shares issued and outstanding as of December 31, 2024 | - | - | ||||||
| Additional paid-in capital | 303,487 | 302,738 | ||||||
| Accumulated other comprehensive income | (209 | ) | (316 | ) | ||||
| Accumulated deficit | (259,401 | ) | (259,459 | ) | ||||
| Total Stockholders' Equity | 43,877 | 42,963 | ||||||
| Total Liabilities & Stockholders' Equity | $ | 95,833 | $ | 93,837 |
XTANT MEDICAL HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except number of shares and per share
| Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Revenue | ||||||||
| Product revenue | $ | 29,284 | $ | 27,873 | ||||
| License revenue | 3,620 | - | ||||||
| Total Revenue | 32,904 | 27,873 | ||||||
| Cost of Sales | 12,661 | 10,571 | ||||||
| Gross Profit | 20,243 | 17,302 | ||||||
| Gross Profit % | 61.5 | % | 62.1 | % | ||||
| Operating Expenses | ||||||||
| General and administrative | 7,533 | 7,785 | ||||||
| Sales and marketing | 11,204 | 12,460 | ||||||
| Research and development | 443 | 527 | ||||||
| Total Operating Expenses | 19,180 | 20,772 | ||||||
| Loss from Operations | 1,063 | (3,470 | ) | |||||
| Other (Expense) Income | ||||||||
| Interest expense | (1,045 | ) | (835 | ) | ||||
| Unrealized foreign currency translation gain | 24 | (39 | ) | |||||
| Other (Expense) Income | (9 | ) | 12 | |||||
| Total Other (Expense) Income | (1,030 | ) | (862 | ) | ||||
| Net Income (Loss) from Operations Before Provision for Income Taxes | 33 | (4,332 | ) | |||||
| Benefit (Provision) for Income Taxes | ||||||||
| Current and Deferred | 25 | (68 | ) | |||||
| Net Income (Loss) | $ | 58 | $ | (4,400 | ) | |||
| Net Income (Loss) Per Share: | ||||||||
| Basic | $ | 0.00 | $ | (0.03 | ) | |||
| Dilutive | $ | 0.00 | $ | (0.03 | ) | |||
| Shares used in the computation: | ||||||||
| Basic | 139,068,831 | 130,201,251 | ||||||
| Dilutive | 143,335,114 | 130,201,251 |
XTANT MEDICAL HOLDINGS, INC.