Zimmer Biomet reported net sales dropped 0.7 percent in the first quarter, but CEO Bryan Hanson was optimistic about several aspects of the company heading into the future.
Here are six quotes from Mr. Hanson during the first quarter conference call, as transcribed by Seeking Alpha:
On ROSA robotic knee: With respect to the ROSA Knee, although it's early in the limited launch process, we have completed cases in all three of our geographic regions, and the response has been extremely positive. Through the surgical cases performed to date, our confidence is increasing that we can deliver all the benefits of robotics that our customers have come to expect, while also allowing them a quick neutrality in the single procedure with minimal disruption to surgical flow.
On competition in the robotic field: Platinum accounts are high volume accounts where we have the largest share position in that account. Those will be the accounts that we go to first to be able to get a robotic position. In the past, those very accounts, if they wanted to move toward robotics, it couldn't be with us because we didn't have that solution set. When you hear our competitor talk about placing in competitive accounts, those are probably the types of accounts that they're talking about.
On ROSA differentiation: We think we're going to be able to differentiate because we're not just bringing robotics; we're bringing robotics with mymobility, which is the digital health platform backed by Apple. We're connecting that with Persona, which is a more personalized implant.
On revenue growth: One of the big variables associated with our driving revenue growth will come from revenue mix shift as a result of bringing new technologies into the market that are higher price point than previous technologies and/or add incremental disposable cost to the procedure because of the value that they bring.
On spine: Spine overall is not an overly attractive space. But if you look at MIS, you look at robotics, you look at cervical disc, those are very attractive submarkets.
On quality remediation at the company's Warsaw (Ind.) North campus and FDA re-inspection later this year: We made good progress on quality remediation in the first quarter. We remain on track to complete our detailed remediation plan on the Warsaw North campus by the end of the year, and we will be ready for re-inspection within that time frame.