Zimmer Biomet : Biomet Announces First Quarter 2021 Financial Results
05/04/2021 | 06:37am EDT
345 E. Main St.
Warsaw, IN 46580
Zimmer Biomet Announces
First Quarter 2021 Financial Results and Full Year Revenue Outlook
First quarter net sales of $1.847 billion increased 3.6%, 0.8% on a constant currency basis
First quarter diluted earnings per share were $0.94; adjusted diluted earnings per share were $1.71
Full-year2021 guidance provided - Company expects 14% to 17% revenue growth on a reported basis and 12.5% to 15.5% on a constant currency basis versus 2020
(WARSAW, IN) May 4, 2021 - Zimmer Biomet Holdings, Inc. (NYSE and SIX: ZBH) today reported financial results for the quarter ended March 31, 2021. The Company reported first quarter net sales of $1.847 billion, an increase of 3.6% over the prior year period, and an increase of 0.8% on a constant currency basis. Net earnings for the first quarter were $198.1 million, or $359.1 million on an adjusted basis.
Diluted earnings per share were $0.94 for the first quarter. Adjusted diluted earnings per share were $1.71 for the first quarter, an increase of 0.6% over the prior year period.
"Our performance was stronger than we anticipated in the first quarter, as we saw signs of the pandemic beginning to subside across many regions toward the end of the quarter driven by acceleration of vaccine rollout. As we move into the second quarter, we expect that momentum to continue and believe we are well-positioned to meet the needs of our customers as elective procedures return," said Bryan Hanson, President and CEO of Zimmer Biomet. "Despite the challenges of COVID-19, the transformation of our business has continued over the past year. We are proud of the milestones Zimmer Biomet has already
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accomplished in 2021 and we have confidence that we can drive significant value for our key stakeholders as we move our Mission forward."
Please see the attached schedules accompanying this press release for additional details on performance in the quarter, including sales by Zimmer Biomet's three geographies and five product categories.
Aligned with Zimmer Biomet's active portfolio management strategy and the ongoing transformation of the business, key recent highlights include:
Introduction ofZBEdge, Zimmer Biomet's suite of integrated digital and robotic technologies, purposefully engineered to deliver data-powered clinical insights, shared seamlessly across the patient journey. ZBEdge includes the ROSA® Robotics Platform, anatomical visualization and guidance solutions such as Signature™ ONE Surgical Planning, remote care and patient engagement management systems like mymobility® with Apple Watch® , as well as data services and analytics including the OrthoIntel Orthopedic Intelligence Platform and the Omni™ Surgical Suite integrated operating room.
510(k) clearance from the U.S. Food and Drug Administration (FDA) for theROSA®Partial Knee Systemfor robotically-assisted partial knee replacement surgeries, marking the latest addition to the ROSA program and the recently launched ZBEdge suite of integrated digital and robotic technologies.
Key additions to the Zimmer BiometLeadership Team, including the appointments of the Company's first Chief Transformation Officer, Ellie Humphrey, and a new Chief Human Resources Officer, Lori Winkler, as well as the promotion of Sang Yi to Group President of APAC and the expansion of Ivan Tornos' role to Chief Operating Officer with new leadership responsibilities for the EMEA region.
Continued momentum for the planned spinoff transaction of the Spine & Dental businesses with theappointment of Vafa Jamalias President of "NewCo".
Geographic and Product Category Sales
In the three-month period ended March 31, 2021, the Company updated its product category sales reporting. Product category sales include the following changes:
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Orthopedic robotic capital sales and services, previously reported in the Knees product category, are included in the Other product category;
Disposable products used in computer-assisted surgeries, previously reported in the Other product category, are included in the Knees product category;
CMFT (Craniomaxillofacial and Thoracic) products, previously reported in the Dental, Spine & CMFT category, are included in the S.E.T. (Sports Medicine, Extremities and Trauma) product category;
CMFT has been removed from the Dental, Spine & CMFT product category and the name has been changed to Dental & Spine to reflect the revenue related to the planned spinoff of NewCo;
Office based technologies products, previously reported in the Other product category, are included in the Dental & Spine product category; and
Other immaterial adjustments across product categories related to brand alignment.
Prior period product category sales have been reclassified to conform to the current presentation. The Company has posted updated sales tables for fiscal 2020 and 2019 reflecting these changes on the Investor Relations section of its website, https://investor.zimmerbiomet.com. These changes have no impact on the Company's consolidated results of operations.
The following sales table provides results by geography and product category for the three-month period ended March 31, 2021, as well as the percentage change compared to the prior year period, on both a reported basis and a constant currency basis.
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NET SALES - THREE MONTHS ENDED MARCH 31, 2021
(in millions, unaudited)
Dental & Spine
* Sports Medicine, Extremities, Trauma, Craniomaxillofacial and Thoracic
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The Company is providing the following full-year 2021 financial guidance:
Projected Year Ending December 31, 2021
2021 reported revenue growth
Foreign Currency Exchange Impact
Adjusted Operating Profit Margin(1)
Adjusted Tax Rate(1)
Adjusted Diluted EPS(1)
These measures are non-GAAP financial measures for which a reconciliation to the
most directly comparable GAAP financial measure is not available without unreasonable efforts. See "Forward-LookingNon-GAAP Financial Measures."
The Company will conduct its first quarter investor conference call today, May 4, 2021, at 8:30 a.m. ET. The audio webcast can be accessed via Zimmer Biomet's Investor Relations website at https://investor.zimmerbiomet.com. It will be archived for replay following the conference call.
About the Company
Founded in 1927 and headquartered in Warsaw, Indiana, Zimmer Biomet is a global leader in musculoskeletal healthcare. We design, manufacture and market orthopedic reconstructive products; sports medicine, biologics, extremities and trauma products; office based technologies; spine, craniomaxillofacial and thoracic products; dental implants; and related surgical products.
We collaborate with healthcare professionals around the globe to advance the pace of innovation. Our products and solutions help treat patients suffering from disorders of, or injuries to, bones, joints or supporting soft tissues. Together with healthcare professionals, we help millions of people live better lives.
Zimmer Biomet Holdings Inc. published this content on 04 May 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 May 2021 10:36:01 UTC.