Q4 & FY2018 Results And Strategic Outlook Pat Miles, Chairman and CEO March 7, 2019 FORWARD-LOOKING STATEMENTS This communication contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The Co ...

This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The words "believe," "will," "should," "expect," "intend," "estimate," "look forward" and "anticipate," variations of ...

2 AVERAGE REVENUE GROWTH OVER 30% PAST 8 QUARTERS Well-positioned for continued industry-leading growth 3 *Transaction expected to close mid-year Q4 2020 FINANCIAL RESULTS Pat Miles, Chairman and CEO – March 4, 2021 FORWARD LOOKING STATEMENTS Alphatec cautions you that statements included in this presentation that are not a description of historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such stateme ...

INFORMED BY EOS Q4 & FY 2021 FINANCIAL RESULTS PAT MILES, CHAIRMAN & CEO | TODD KONING, EVP & CFO MARCH 1, 2021 ITM FORWARD LOOKING STATEMENTS This deck contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-loo ...

REVOLUTIONIZING SPINE SURGERY PAT MILES , CHAIRMAN & CEO JANUARY 10, 2024 FORWARD LOOKING STATEMENTS This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The Company cauti ...

INNOVATION UPDATE OCTOBER 18, 2023 FORWARD LOOKING STATEMENTS This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainty. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The Company cautions investors that there can be no assu ...

Alphatec (ATEC) came out with a quarterly loss of $0.23 per share versus the Zacks Consensus Estimate of a loss of $0.12. This compares to loss of $0.34 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -91.67%. A quarter ago, it was expected that this medical equipment and supplies holding company would post a loss of $0.18 per share when it actually produced a loss of $0.23, delivering a surprise of -27.78%.Over the last four ...

Financial Data and Key Metrics Changes - The company reported a revenue growth of 22% year-over-year, reaching $169 million, with surgical revenue growing by 24% to $152 million [4][9] - Adjusted EBITDA for the first quarter was $11 million, marking a 6% margin and an improvement of over 800 basis points compared to the previous year [13][14] - Non-GAAP gross margin was 70%, down 50 basis points year-over-year but up 70 basis points sequentially [11] Business Line Data and Key Metrics Changes - Surgical revenue grew by 24% year-over-year, driven by a 17% increase in procedural volume and an 18% increase in the number of surgeons utilizing ATEC procedures [6][10] - EOS revenue increased by 8% year-over-year, with a record order volume leading to a 28% year-over-year increase in the order book [11][12] Market Data and Key Metrics Changes - Established territories saw a revenue growth of 23%, indicating strong surgeon and territory penetration [6] - Same store sales from sales agents in territories for over a year grew by 23% year-over-year, reflecting significant growth in established markets [12][84] Company Strategy and Development Direction - The company is focused on creating clinical distinction through innovative procedural solutions that improve patient outcomes [24][25] - ATEC aims to expand its sales force and enhance operational efficiency to drive growth and profitability [6][23] - The strategy includes leveraging informatics to reduce surgical variables and improve predictability in spine surgery [26][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving cash flow positivity for the full year 2025, with expectations of continued strong revenue growth [19][17] - The company anticipates a revenue outlook of approximately $734 million for 2025, with surgical revenue growth of 21% [19][21] - Management noted that the spine market remains resilient despite economic uncertainties, with high demand for their products [106][107] Other Important Information - The company successfully refinanced its 2026 convertible note, extending maturity and maintaining a low coupon rate [17] - The first quarter cash burn was at the low end of the expected range, indicating improved cash management [15][16] Q&A Session Summary Question: Market size and competitive dynamics for the new Corpectomy system - Management indicated that they are the only company offering this procedure in the prone position, which provides unique advantages [41][42] Question: Tariff exposure in 2025 - The company expects low single-digit million impacts on cost of goods sold due to tariffs, primarily affecting EOS equipment [54][55] Question: Update on robot launch plan - The robot is in the alpha phase, with plans for an end-of-year launch, and integration with navigation systems is underway [60][61] Question: Cash outlay trends - The company achieved a cash use of $15 million in Q1, with expectations for positive cash flow in subsequent quarters [65][66] Question: Salesforce productivity and opportunities - Same store sales grew by 23%, indicating strong performance from established sales agents [83][84] Question: EOS placements and portfolio pull-through - Most EOS placements are in new accounts, with a focus on expanding into complex procedures [88][90] Question: Overall volumes and ASC growth - The market is healthy, with surgical volumes growing significantly, and ASCs are expected to evolve over time [93][94] Question: International market expansion - The company remains bullish on international markets, particularly Australia and New Zealand, while maintaining a focused approach [110]

Revenue and Sales - Revenue from products and services increased by $30.7 million, or 22%, to $169.2 million for the three months ended March 31, 2025, compared to $138.5 million in the same period in 2024[126]. Costs and Expenses - Cost of sales rose by $12.1 million, or 29%, to $53.2 million for the three months ended March 31, 2025, primarily due to increased product volume and stock-based compensation[128]. - Total operating expenses increased by $19.6 million, or 14%, to $160.3 million for the three months ended March 31, 2025, compared to $140.7 million in the same period in 2024[129]. - Research and development expenses decreased by $1.4 million, or 8%, to $16.6 million for the three months ended March 31, 2025, primarily due to a decrease in stock-based compensation[129]. - Litigation-related expenses surged by $7.8 million, or 176%, to $12.2 million for the three months ended March 31, 2025, mainly due to a litigation settlement[131]. Interest and Debt - Interest expense increased by $2.5 million, or 47%, to $7.8 million for the three months ended March 31, 2025, attributed to additional borrowing on the Braidwell Term Loan[135]. - Loss on debt extinguishment increased by $17.6 million, or 100%, during the three months ended March 31, 2025, related to the redemption of 80% of the 2026 Notes[136]. - Gain on derivative liability increased by $17.4 million, or 100%, during the three months ended March 31, 2025, due to changes in the valuation of the derivative liability associated with the 2030 Notes[137]. Other Income and Tax - Other income increased by $0.2 million, or 186%, to $0.3 million for the three months ended March 31, 2025, primarily due to fluctuations in foreign currency rates[138]. - The income tax benefit for the three months ended March 31, 2025, was $64, a slight decrease from $69 in the same period in 2024, related to the recognition of tax benefits in several jurisdictions[139]. Cash Flow and Liquidity - Cash and cash equivalents increased to $153.2 million as of March 31, 2025, from $138.8 million at December 31, 2024, indicating improved liquidity[144]. - Operating activities used cash of $5.0 million for the three months ended March 31, 2025, primarily due to inventory purchases to support business growth[146]. - Investing activities used cash of $11.6 million for the same period, mainly for the purchase of surgical instruments[147]. - Financing activities provided cash of $30.8 million, primarily from proceeds of the 2030 Notes, offset by the repurchase of 80% of the 2026 Notes[148]. Debt Obligations - As of March 31, 2025, the company had $200.0 million outstanding under the Braidwell Term Loan, maturing on January 6, 2028, with an interest rate of Term SOFR plus 5.75%[149]. - The company had $405.0 million outstanding under the 2030 Notes, accruing interest at 0.75%, with a maturity date of March 2030[152]. - The remaining minimum purchase commitment under an inventory purchase agreement was $8.0 million as of March 31, 2025[154]. Future Outlook - The company anticipates future capital requirements will depend on revenue growth rates and the timing of new product introductions[144]. - The company is exposed to foreign currency exchange risk as its international business expands[142]. - The company has no material financial exposure to any single customer or country outside the U.S. that would significantly hinder liquidity[143].

Financial Data and Key Metrics Changes - The company reported a revenue of $169 million for Q1 2025, representing a 22% increase compared to the prior year [8][12] - Adjusted EBITDA for the quarter was $11 million, equating to a 6% margin, which is an improvement of over 800 basis points year over year [12][20] - Non-GAAP gross margin was 70%, down 50 basis points year over year but up 70 basis points sequentially [10][11] - Free cash use was $15 million, reflecting a $55 million improvement compared to Q1 2024 [14][15] Business Line Data and Key Metrics Changes - Surgical revenue was $152 million, growing 24% year over year, while EOS revenue was $17 million, up 8% [8][10] - Procedural volume growth was 17%, driven by an 18% increase in the number of surgeons utilizing ATEC procedures [9][10] - Average revenue per procedure grew by 6%, indicating effective capture of procedural revenue opportunities [9] Market Data and Key Metrics Changes - Same store sales grew 23% year over year, demonstrating significant growth in established markets [10][11] - The company experienced record order growth for EOS, with a 28% year over year increase in the order book [10] Company Strategy and Development Direction - The company is focused on creating clinical distinction through innovative procedural solutions that improve patient outcomes [22][24] - ATEC aims to minimize surgical variables through technology, expanding its sales force and enhancing field operations [24][26] - The strategy includes a strong commitment to informatics and automated alignment planning to improve surgical predictability [26][36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving cash flow positivity for the full year 2025, with expectations of continued strong revenue growth [15][18] - The company anticipates revenue growth of 20% for the full year 2025, with surgical revenue growth of 21% [18][20] - Management noted that the current economic environment has not negatively impacted demand, with a robust backlog of procedures [100][101] Other Important Information - The company successfully refinanced its 2026 convertible note, extending maturity and maintaining a low coupon rate [15] - The company is committed to maintaining disciplined cost management while investing in growth drivers [11][12] Q&A Session Summary Question: Market size and competitive dynamics for the new Corpectomy system - Management indicated that they are the only company offering this procedure in the prone position, which provides unique advantages [39][40] Question: Tariff exposure in 2025 - The company expects low single-digit million impacts on cost of goods sold due to tariffs, primarily affecting EOS equipment [50][51] Question: Update on robot launch plan - The robot is in the alpha phase, with plans for an end-of-year launch, and integration with navigation systems is ongoing [55][92] Question: Trends in cash outlay and cash use - The company achieved cash use at the low end of the expected range and anticipates positive cash flow in the latter half of 2025 [61][63] Question: Competitive dynamics in the spine market - Management noted that the company is positioned as the largest pure play spine company, with a strong focus on improving the ecosystem for spine surgery [66][69] Question: Salesforce productivity and performance - The company reported a 23% growth in same store sales, indicating effective performance from newly recruited sales representatives [78][79] Question: EOS placements and portfolio pull-through - Most EOS placements are in new accounts, with significant growth expected in complex procedures [84][86] Question: Overall market volumes and ASC growth - The market is healthy, with good volume trends, and the company sees potential for growth in Ambulatory Surgery Centers (ASCs) over time [88][90] Question: International market expansion - The company remains bullish on international markets like Australia and Japan, focusing on profitable growth without a large infrastructure [105][107]