NuVasive reported financial results for the first quarter of 2016. The results include recent Ellipse Technologies and Mega Surgical acquisitions.
Here are nine key notes:
1. NuVasive reported total revenue of $215.1 million in first quarter 2016, an 11.8 percent increase from the $192.4 million reported for the first quarter of 2015.
2. Net loss reached $8.9 million for the first quarter 2016, as compared to net income of $31.6 million during the same period last year.
3. GAAP and non-GAAP gross profit was $160.9 million and $165.8 million, respectively. Additionally, GAAP gross margin was 74.8 percent and non-GAAP gross margin was 77.1 percent.
4. Non-GAAP operating profit margin went up 150 basis points to 14.1 percent in the first quarter of 2016, while GAAP operating profit margin was 5.7 percent.
5. The company reported net income of $16 million on a non-GAAP basis, as compared a non-GAAP net income of $15.1 million in the first quarter of 2015.
6. According to NuVasive CEO Gregory T. Lucier, the company's revenue performance was driven by "increasing growth for our U.S. spinal hardware business."
7. The issuance of $650 million in convertible senior notes on March 16 also impacted the company's first quarter 2016 financial performance.
8. The company used the net proceeds from the notes offering to put in place a bond hedge to raise the effective conversion price of the convertible notes due 2021 to $80 and for repurchases of existing convertible notes due 2017.
9. NuVasive expects full-year revenue of approximately $928 million, or an approximately 14.4 percent growth compared to revenue for the full year 2015.