Shares of Alphatec Holdings (NASDAQ: ATEC), a leading medical technology company focused on spinal disorder treatments, surged in after-hours trading on October 30, 2024, following the company's impressive third-quarter 2024 financial results and raised full-year guidance.
For the third quarter, ATEC reported revenue of $151 million, surpassing analyst estimates of $147.2 million. The company's surgical revenue grew by an impressive 30%, driving the overall 27% year-over-year revenue increase. Additionally, ATEC achieved 19% growth in new surgeon adoption, a key leading indicator of future growth.
Building on this momentum, ATEC raised its full-year 2024 revenue guidance to $605 million, representing a 25% increase compared to the previous year. The company also increased its full-year adjusted EBITDA guidance to $27 million, up from the previous expectation of $25.5 million, reflecting its commitment to expanding profitability.
While ATEC reported a net loss of $39.6 million for the quarter, its adjusted EBITDA margin improved significantly to 4.9%, up from -0.4% in the same quarter last year, indicating progress towards profitability. The company also announced an expansion of its existing term loan facility by $50 million, increasing its total capacity to $200 million and providing additional financial flexibility.
Analysts generally maintained positive ratings and price targets on ATEC, citing its strong growth prospects and strategic initiatives, though some cautioned about ongoing risks and financial constraints. Overall, the company's innovations and focus on enhancing spine care seem to be driving its momentum, despite lingering challenges.
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