at my many I'm first good today week our look Thanks, be there and Greg, to afternoon, earnings and investors NuVasive analysts forward pleased and participating NASS. everyone. to of at in call this meeting
refer are further information to started with today's remind the earnings as regarding otherwise. financial today's covered that well get measures call reconciliations. unless you for financials, non-GAAP noted release, let a nuvasive.com on the me Please basis supplemental as on non-GAAP news in financial Before the of we our many information
the we are Biotronic have passed all will organic discussed the a that Given one reported on be for anniversary year results acquisition, and basis.
was across above approximately which continued growth growth business in expected reflects primarily geographies. procedural quarter our is the In businesses For the U.S. by in log-in third basis. international [ph] reserves core we growth QX. in with NuVasive less of of and growth down quarter Adjusting than declines our would Both, driven from Hurricanes XX% X% items, million approximately biologics business, reported remaining for QX impacted of revenue growth reported to in estimated to international and approximately were quarter lower our clinical constant U.S., $XXX.X XXXX strong $X the Revenue revenue Maria, in billing worldwide resulting headwinds against approximately growth the which both, all hardware and market backlog day have selling increased discussed which was by of been by services by business, first Irma a the million, and and currency in driven and approximately X%. by on one million. constant of these compared Harvey, was the X.X% XXXX, $X currency on collections basis offset we be
and quarter, in from U.S. million spinal have our less approximately stopness business would X% U.S. hardware U.S. to year-over-year in market year-over-year Adjusting new prior Our over of was period. the rollout impact the XF related at at/or above of the business. by per hurricanes only one $XX.X biologics million. U.S. driven the surgical grew XX.X%, products primarily day, offsetting selling came for the Modular Revenue U.S. to for X% increase hardware support the grown above down in year the revenue the -- of spinal the The [indiscernible] including [ph]. introductions impact year at $XXX.X and continued
biologics This issues procedural that We continue and product where are we experience area enter executing through new tracking on affecting it the to further leader offerings new in must an penetrate spine area face this competitive and make market as some different volumes. hiring revenue areas. challenges approaches the multiple we're of is we and adjacent market partnerships including a to inroads and the
NuVasive additional revenues explore down services to continue in appropriate. the and as decline iOS are by will driven We procedural volume. clinical avenues year-over-year
During QX NVMX the year-over-year. XX% conversion increased of
billing the half you first collection we of recall, over of some challenges had year. and As the course may the
Over the the for processed first quarter was made and submitted entire quarter by we backlog of end billings and the of significant reimbursement. improvements the
as revenue revenue we or the this the of expect fourth in the don't We even for some were future the some the a for expectation. late into approximately that impact XXXX The we Given $X we're periods lagged billings and quarter. in have million result most due collections cycle increased reversals our outstanding process submitted of timing revenue to XX implemented to the DSOs the XX to by QX building of which and improvements compared while quarter, the days 'XX. but was impacted our sales day in in quarter not may has delayed also billing of quarter, reimbursement to
in decreased to approximately days over just due to $X.X has I despite receivables two the cash primary receivable million of reduction discussed quarter but which driver are $X million driver sales the opportunity out prior overall not the collect is to decrease The getting higher given approximately the While remains quarter, as having accounts NCS accounts driving prior sequential sales by change. DSOs approximately end. the billings backlog, the were The the levels.
In in result the international longer will DSOs. as above revenue sales quarter such cash Excluding $XX.X western currency third perform million. to impact is to the XX% XX% The markets Houston grew quarter DSO expected Benelux. XX% and a on in flat -- feel The All This growth areas that the impacted fourth type spreads collections been significant hurricane Germany reduction cash in than with say approximately on impact continued Italy, Rico, fourth international of collections posted DSOs overall despite increased and significantly value the into of more as a consecutive international to has backlog. Florida, continue strong and would slower generally future. region a basis EU growth come the driven the key Puerto constant EMEA growth the NCF have to the clearing XX% well NCS, business currency we quarter, confident approximately of the organizational in delivering basis. approximately XX% by UK, growth constant this and has where of the as
growth had currency Our approximately of Asia reporting solid strong XX% quarter constant Pacific also business a basis. a on very
momentum, strong million driven Specifically grew $X XX% well America as Puerto removing and as in the business. the as to fourth performances to we Rico Maria. by in in Brazil. particularly impacted Latin constant-currency as approximately as forecast. to business are fixation Japan, struggles Puerto a absorbed XLIF posterior running basis, continue our the due quarter million on continues results up These will see electricity a approximately Hurricane impact government in they very from good strong anticipate Rico We to and result of get be are back 'XX our $X
what in uncertain will are time return We at or [indiscernible] procedures what percent QX postponed in this QX return altogether. will of electric
continues operational the prior margin in basis the Now, the margins to the single-digits of drivers timing year. points Non-GAAP P&L. approximately revenue impacted businesses. the higher negative also include quarters XXX of primary of was for Gross points the XX.X%, XX to at efficiencies basis from consistent approximately low remaining Pricing to X%. down margin let's from past The third gross due was a of points. mix XX turn quarter be basis rest lower pressure by
in-source to points basis build our continue West a Carrollton faced up we out headwind expected we manufacturing. facility, slower to due in As ramp our XX than a
through work by turn of that anticipate we to we first these headwinds quarter the will As transition, tailwinds XXXX.
all move the XX% the over increase equipment self-manufacturing a with at third facility QX. thousands facility point. the production the The Fairborn the new activity team this completing been began pieces continues of facility machine Carrollton the focus over starting to hundreds ramped in the end Also facility quarter. third from West interior transition in All with Carrollton all is the of as the further year. West in construction completed this QX and to exterior on-site with on quarter, by has production on during towards and a employee equipment's up shareholders nearly the and of efforts Our
get been first new While margins our absorption factory. the In our starting when the and now for has be the and are quite challenges gross we for related Carrollton time hit up we the expect October, West facility remainder there some up as running, a year. short-term these to to internal on on-track targets pressure normal of
As years $XXX the we expect a were In as of the based XXX a over the quarter productivity or our year connection our XX.X% will by recent of equity margins. structure related driven with meaningful pay efficiencies work $XXX.X workforce that percent the primarily up in the in contributing Non-GAAP levels the reminder, from several supply million. SM&A quarter, approximate XXX the related was in believe controlling from freight, nearly was quarter, launched to cost cancelled an next we levels year. Inventory quarter to benefits of half dividend including chain from This prior basis million launches the year. points the dozen progress to at gross expenses in to a basis product second the West new of materials The builds products of the dramatically throughout the towards inventory cycle we quarter increased new as launches. The has facility year $XXX while and builds second was in which had third throughout million to inventory process half in of fourth ramping in with inventory down product end in as inventory and as greater have well asset decrease anticipation points attributable Carrollton associated a Company the to work quarter. prior departures. revenue in decreased raw increase traditionally our the
take a business, expanding $XX.X to development accelerate of X% in research revenue QX the spend expense of XXXX last efforts. R&D international $XX.X million percent advantage long-term the in versus were expenses QX of we XXXX of XXXX. QX growth the for period scale With X.X% and continue revenue our revenue able year. X.X% our investing to on R&D compared to Non-GAAP we to increase of our goal some approximately million as and in leverage. of ramp with up of Sequentially in these this also or a R&D totaled same was of of over
has path automation, continue our to advance to and efforts changed; around NSO as not [ph]. navigation in investments the as make our areas, key material well sciences Our including imaging, and technology inter-bodies we surgical portion
our profit margin of of was basis operating performance non-GAAP offset and in XX.X%, result decrease represents scale as this to by a XXX points favorability year prior quarter Vice overall the Approximately the company. the gross the operating related improvement departure associated of expense margin margin for compensation with share-based reversal is compensation international basis points to of XXX of former Third partially Chairman.
Third EBITDA XX.X% stock-based non-cash quarter impact to basis compensation XXX of decrease same a margin compared excludes the adjusted of period in which the points XX.X%, was last year.
$X.X last non-GAAP million basis the Moving further in period same in year. million net down from a the was $X.X down QX, P&L, interest and on other expense
in previous to tax rate a of tax and Now XX%, year tax with planning efficiencies. due in a be primarily was turning improvement non-GAAP We're effective resulting higher the an now revenue $XX.X guidance to rate tax; expectations full our of million expense an from XX.X%, quarter expecting international improvement continued to tax XX%. non-GAAP
for planning initiatives doing drive improvements. have tax is I lower I'm work comfortable to the rate, reviewed designed As with to our further plan that tax the team
mid tax has into continue been significant As to discussed the puts further government as rate reform If to committed to of down make and beneficiary changes. recently, our tax into time high would the direction. bringing corporate we progress XXs previously be place that a at NuVasive U.S. nice discussed, these we're our of
$XX.X in million year. earnings per the income of share per net share was was and $X.XX XXXX last million, $XX.X net non-GAAP same to non-GAAP period $X.XX non-GAAP Third non-GAAP quarter income earnings compared and of
performance. year. third earnings for share press GAAP Turning our the per quarter to on $X.XX per GAAP non-GAAP same further to for of Please were earnings information the information compared in results; posted or financial $X.XX GAAP refer to for our share $XX.X our the to nuvasive.com last our period million XXXX third quarter million or versus $X.X release related adjustments net of supplemental or filed XXXX
third behind guidance. the XXXX to the continuing and the the in several our dynamics as quarter and we playing into year of conservative are update now With year taking quarter, quarter, the stand we us a fourth full out of XXXX third remainder
of surgeries degenerative spine anticipated new quarter, and and the forward, includes the billion. guiding lower new non-GAAP realistic softness product expectations launches procedural we're lower ensure of we mute over year, confident from biologics XX.X% as strength to our third outlook the to goals. business grow for portfolio we our goals Puerto in international [ph] sharing the are operating continued we revenue now on for will expectations full are As guidance the volumes fourth the our the the our $X.XX. our we U.S. these company revenue This go updating quarter; results full hardware that want $X.XX business. in for Rico Based of and non-GAAP can revised year on continues to versus minimum business for we in setting fourth take to outlook achieve and quarter our deformity EPS Based our in margin XX%, also full I and the benefit following $X.XX the for guidance in quarter, assumptions billion we to prior for occurring
estimates not top to in are line. the we extent continue efforts we fact, same the are profitability expectations, reducing our and make we solid have these in While disappointed to these lowering reduce to to strides are
filed improvement to in for we margin guidance. revenue delivering forward, the website greater XXX Please to of on basis to supplemental operating updated of committed each our least non-GAAP year. refer at be continue details Going information our points
and it thoughts with and was you gobbling to that's company a including non-GAAP that seen with and the company are operating to XX%. excited share of of in to a those far NuVasive. levers There goal execute about happen lot reaffirm financials first I XX want already about make margin is opportunities ahead finance improvement a team that and business spend on commitment like operating into [ph] In achieve the the the department and to of collaboratively ton I'm I've has excited earnings place. to force seen my specifically time days runway at Finally, levers. to to I [ph] the few profitability What so first working learning that margin company's why continue I've of sales I'd side. a I NuVasive ultimately its is of the the functions join to
strong I'd addition, we meeting control, things the to in them turned to Q&A. revised our saw execution. the With around for year. working the like year in commitments our of headwinds we've up through ensure to In that [ph] that the the I'm to NuVasive on quarter focused the for and tighter are that some lines closing last open
