Globus Medical(US:GMED) ZACKS·2025-08-13 13:26Core Insights - Globus Medical, Inc. (GMED) reported second-quarter 2025 adjusted earnings per share (EPS) of 86 cents, exceeding the Zacks Consensus Estimate by 13.16% and reflecting a year-over-year increase of 14.1% [1][9] - The company's revenues for the quarter reached $745.3 million, marking an 18.4% increase year over year and surpassing the Zacks Consensus Estimate by 0.49% [3][9] - GMED's gross profit rose 34.3% year over year to $496.6 million, with a gross margin expansion of 792 basis points to 66.6% [6][9] Revenue Performance - Worldwide sales increased to $745.3 million, driven by a $95 million contribution from the recently acquired Nevro [3][9] - U.S. net sales grew 20.3% year over year to $600.8 million, while international revenues rose 11% to $144.6 million [4] Product Performance - Musculoskeletal Solutions generated revenues of $710.2 million, up 19.8% year over year, while Enabling Technologies saw a decline of 4.4% to $35.2 million [5] Margin and Profitability - Adjusted operating profit was $153 million, a 65.4% increase from the previous year, with an adjusted operating margin of 20.5% [7] - SG&A expenses increased by 26.8% to $303.6 million, while research and development expenses rose 5.9% to $40 million [6] Cash Position - At the end of Q2 2025, GMED had combined cash and cash equivalents of $229.4 million, down from $461.3 million at the end of Q1 [8] - Net cash provided by operating activities was $255.2 million, compared to $106.6 million in the prior year [8] Guidance - GMED reaffirmed its full-year 2025 guidance, projecting net sales between $2.80 billion and $2.90 billion, with adjusted EPS expected in the range of $3.00 to $3.30 [10] Market Position - The company experienced strong momentum in the U.S. Spine business, achieving its highest sequential revenue growth since Q2 2022, with notable growth in the EMEA region [11] - GMED is increasing investment and output to enhance product delivery and engagement with surgeon partners [12]