Global Leaders in Biologics
RTI Biologics Announces 2012 First Quarter Results
- Wendy Crites Wacker
- Director of Corporate Communications
- Rob Jordheim
- Chief Financial Officer
– Company Will Hold Conference Call at 8:30 a.m. ET –
ALACHUA, Fla. (April 26, 2012) – RTI Biologics Inc. (RTI) (Nasdaq: RTIX), a leading provider of orthopedic and other biologic implants, reported operating results for the first quarter of 2012 as follows:
- Achieved quarterly revenues of $43.7 million, an increase of 8 percent compared to the first quarter of 2011 and exceeding the company’s guidance of between $41 and $42 million.
- Achieved quarterly earnings per fully diluted share of $0.04, an increase of $0.02 compared to the first quarter of 2011 and exceeding the company’s guidance of $0.03 per fully diluted share.
- Achieved quarterly revenues of $13.4 million in the direct sports medicine business, a 15 percent increase compared to the first quarter of 2011.
- Achieved quarterly revenues of $7.0 million in the bone graft substitutes and general orthopedic (BGS/GO) business, a 15 percent increase compared to the first quarter of 2011.
- Achieved international revenues of $5.9 million, a 9 percent increase compared to the first quarter of 2011.
- Achieved quarterly revenues of $14.1 million in the U.S. direct distribution organization, a 16 percent increase over the first quarter of 2011. The U.S. direct distribution organization includes sports medicine and some BGS/GO implants.
“We are pleased with our first quarter results, which exceeded our expectations and were driven primarily by growth in our direct sports medicine and BGS/GO businesses, as well as in our dental business,” said Brian K. Hutchison, president and CEO of RTI.
Worldwide revenues of $43.7 million for the first quarter of 2012 were up 8 percent compared to the first quarter of 2011. Domestic revenues of $37.9 million for the first quarter of 2012 were up 7 percent compared to the first quarter of 2011, primarily based on the strength of the sports medicine, BGS/GO and dental businesses. International revenues of $5.9 million increased 9 percent compared to the first quarter of 2011 due to the strength of the surgical specialties business and the export of sports medicine and BGS/GO implants. On a constant currency basis, international revenues increased 12 percent compared to the first quarter of 2011.
For the first quarter of 2012, the company reported net income of $2.0 million and net income per fully diluted share of $0.04, based on 55.9 million fully diluted shares outstanding, compared to net income of $1.2 million and net income per fully diluted share of $0.02 based on 55.0 million fully diluted shares outstanding.
Fiscal 2012 and Second Quarter Outlook
As a result of better than expected results in the first quarter, the company is raising its full year revenue guidance for 2012. The company now expects full year revenues for 2012 to be between $176 million and $178 million, as compared to prior guidance of between $174 million and $176 million. Full year net income is expected to be between $0.16 and $0.17 per fully diluted share, based on 56.1 million shares outstanding, as compared to our prior guidance of between $0.15 and $0.17 per fully diluted share.
For the second quarter of 2012, the company expects revenues to be between $43 million and $44 million, and net income per fully diluted share to be approximately $0.04.
“We had a strong start to the year with solid results for the first quarter of 2012,” Hutchison said. “Based on the strength of the first quarter, we elected to raise our full year revenue guidance and have tightened our earnings guidance. As stated in our January 2012 release, we are investing in new product development initiatives and direct distribution during this year, which we anticipate will positively impact our future revenue growth.”
RTI will host a conference call and simultaneous audio webcast to discuss the first quarter 2012 results at 8:30 a.m. ET today. The conference call can be accessed by dialing (877) 383-7419. The webcast can be accessed through the investor section of RTI’s website at www.rtix.com. A replay of the conference call will be available on the RTI website for one month following the call.
About RTI Biologics Inc.
RTI Biologics Inc. is a leading provider of sterile biologic implants for surgeries around the world with a commitment to advancing science, safety and innovation. RTI prepares human donated tissue and bovine tissue for transplantation through extensive testing and screening and using proprietary processes. These allograft and xenograft implants are used in orthopedic, dental and other specialty surgeries.
RTI’s innovations continuously raise the bar of science and safety for biologics – from being the first company to offer precision-tooled bone implants and assembled technology to maximize each gift of donation, to inventing validated sterilization processes that include viral inactivation steps. Two such processes – the BioCleanse® Tissue Sterilization Process and the Tutoplast® Tissue Sterilization Process – have a combined record of more than two million implants distributed with zero incidence of allograft-associated infection. These processes have been validated by tissue type to inactivate or remove viruses, bacteria, fungi and spores from the tissue while maintaining biocompatibility and functionality.
RTI’s worldwide corporate headquarters are located in Alachua, Fla., with international locations in Germany and France. The company is accredited by the American Association of Tissue Banks in the United States and is a member of AdvaMed.
Forward Looking Statement
This communication contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s current expectations, estimates and projections about our industry, our management’s beliefs and certain assumptions made by our management. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, except for historical information, any statements made in this communication about anticipated financial results, growth rates, new product introductions, future operational improvements and results or regulatory approvals or changes to agreements with distributors also are forward-looking statements. These statements are not guarantees of future performance and are subject to risks and uncertainties, including the risks described in public filings with the U.S. Securities and Exchange Commission (SEC). Our actual results may differ materially from the anticipated results reflected in these forward-looking statements. Copies of the company’s SEC filings may be obtained by contacting the company or the SEC or by visiting RTI’s website at www.rtix.com or the SEC’s website at www.sec.gov.