With about $1 billion in money on its steadiness sheet, Globus Medical is seeking to discover strategic partnerships that might capitalize on some weaknesses within the medtech market, in accordance with the corporate’s first-quarter earnings name, transcribed by The Motley Idiot.
“We’re all the time on the market M&A,” Keith Pfeil, Globus senior vice chairman and CFO, mentioned on the decision. “As [inflation] charges go up, I believe that smaller firms on the market that may be laden with debt might be alternatives for us to probably take a look at and purchase.”
Backbone firms that supply the most important alternative for Globus to accumulate can be smaller startups analysis and growth that aren’t absolutely developed in addition to complementary know-how that might profit the corporate’s enabling applied sciences enterprise, Mr. Pfeil mentioned.
Within the first quarter, Globus skilled a slowdown in enabling know-how gross sales as hospitals centered on COVID-19 and staffing shortages. Nevertheless, robotic procedures and implant pull-through continued to speed up, rising 27 p.c yr over yr.
The corporate mentioned greater than 31,000 robotic backbone surgical procedures have been carried out with its flagship ExcelsiusGPS system, which mixes a robotic arm with navigation to enhance accuracy within the placement of screws throughout backbone surgical procedure and cut back radiation publicity for the surgical group.
“Getting into Q2, our pipeline is stronger, and we’re specializing in driving robotic gross sales all through the remainder of the yr,” Dan Scavilla, Globus president and CEO, mentioned on the decision. “In Could, we started cargo of our Excelsius 3D imaging system and efficiently accomplished the primary surgical procedures in a number of websites.”
Excelsius 3D is a three-in-one imaging platform with excessive maneuverability, a big area of view and seamless integration with the ExcelsiusGPS Robotic, in accordance with the corporate.
“Market curiosity is excessive on the state-of-the-art know-how and buyer orders proceed to develop. Excelsius 3D is positioned to be a significant progress driver for us as we proceed to penetrate the market,” Mr. Scavilla mentioned.
