GMED - Earnings call 4 2023 | Globus Medical, Inc.

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Operator

Okay, and thank you for standing by. Welcome to the Globus Medical's Fourth Quarter and Full Year 2023 Earnings Call.

[Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Brian Kearns, Senior Vice President of Investor of Business Development and Investor Relations. Please go ahead.

Brian Kearns

thank for and today. with Victor, you, you, being everyone, us Thank

Chief review today's will webcast, the Keith Medical CEO; and Medical from accessible Pfeil, website Officer. Dan Operating Joining Relations Globus Globus and through be the call section available being is made Scavilla, Investor President Chief at Financial via This of and www.globusmedical.com.

review forward-looking me of the during this Before statements. some statements considered be that we are remind begin, may you let or made

fiscal cause year any Securities materially XXXX our results Our subsequent identify the Form the projected forward-looking XX-K differ with and and today. certain filings for in to made those from factors our Commission statements Exchange that could actual

to new filings, a XX-K, Our including update or our information are forward-looking the website. statements events result on as or not developments. of SEC available any future undertake We do

certain provide also considered principles accepted that Our non-GAAP measures financial replacements We include financial with not today should should read GAAP. the GAAP our to for financial generally together or financial measures. discussion with directly measures most in be be accounting performance. not business calculated additional comparable pertinent measures These information non-GAAP accordance these and will are believe

CEO. measures Reconciliations call over of to accompanying the to Investor that, turn the most the With I'll and are directly Relations Globus release Dan and available GAAP our the in schedules section press the comparable the on Medical President website. Scavilla,

Daniel Scavilla

while $X.XX even non-GAAP Enabling Technology, sales. an growth EBITDA EPS everyone. versus Globus delivering in a a Revenue profitability, year, XX%, billion, good Orthopedics or our XXXX record afternoon, NuVasive quarter. was revenue generating industry-leading We in maintaining months for of X in recruiting. prior investments competitive and million achieved Brian, Thanks, year fourth of continue and XX% $XXX including strong full adjusted and record we finished with performance strong as sales the the of $X.XXX record

to in integrating in fuel and progress us momentum new the our innovation NuVasive positioning significant X continue XXXX. products launched merger with gain XXXX, achieved also We to well

record delivered $X.XX, XXX% we adjusted million. growing QX, of was XX%. EBITDA EPS QX was sales million, and $XXX $XXX In or non-GAAP

had to will funding cash product in-house free growth $XX innovative This used set stand-alone record comment revenues. be also and flow manufacturing. million, up fuel cash expansions on launches, XX%. briefly We a NuVasive stand-alone Globus I'll QX and of

stand-alone one increasing the company pro XX% of reentry XXXX, become we increasing orthopedics $XXX we forma XXXX. by company performance key NuVasive momentum country one Sales specialty stand-alone team placements, million, were X% in are in of prior for XX,XXX year, X% growth services continued QX technology The XX% NuVasive as basis, growth up versus XX% a driven trauma as international X% we growth, and strong, in U.S. prior an versus mix, delivering $XXX spine offset million, million of provide market stand-alone on product Spine mix were growing. growth driven delivering by in with of by market $XX above-market However, continued in and XX% adjusted with higher performed strong Globus clinical NuVasive strength EBITDA Enabling of gains. were XX%. penetration Technologies and proud sales will increasing XX% growth by growth and solid primarily gains year. and procedures enter financing focus There I'm and sales with information to driven date remains the over robotic foundation profitability with Globus delivering QX programs. going not for in forward. unit delivered or QX, internationally XX%,

sales To Spine and territories, within slight lower penetration. drivers in NuVasive team customers' with projected but Pulse in dissynergies are seen S-X. I with cross-selling and former sales few provided estimates impacted the look them. in The XXXX key declines growth by these Tech attributed merger. fall to some with Enabling a partnering partially was uncertainty to well our by we dissynergies This in offset U.S. deal have date, the forward

we victory, lumbar plates launched of for platform. strong lateral the broad plates combined our adding lateral buttress anterior, approaches, for anterior QX, year is spinal full, In fixation setting introductions. product and stage fixation XXXX, our Entering to a pipeline and product

including few the seamless Over trauma nailing when our adding system to EXD system expandable for system. INR new our will we be the navigation e-hub combined expansion the months, next with best-in-class portfolio, precise navigation and of offerings,

with starting leading status with The created expanded us Orthopedics merger long-term overlap. and minimal force customer comprehensive sales Enabling and and growth. scale NuVasive The in with portfolio Moving with a into and the positions Tech global deal a spine, innovative rationale. sustained for well integration organization world-class reach

we of bring the combined development into of procedural rapid solutions through team unmet Our product needs marketplace. development solutions focus innovative the continuum on will to as clinical care address

commercial programs will define as leaders complementary shaping expanding cost marketplace in-house support research improves and education further drive and capabilities surgeon savings. The us growth footprint, to the our while thought operational

redirect Our focused discipline and improving investments profitability financial flow. cash provides areas while combined the into growth ability to

track cross-training January We've On QX the team X structures as throughout several product team. front, Tech We and and company surgeons also and implementing support completed the for allow for world. we've to systems held will XXXX, the education. education of that on and implemented U.S. work the remain international realignment for sales to commercial X the in operating teams reps common us sessions in Enabling new

structure. through to driving with look growth the pleased I'm our work and here new forward meaningful

security XXXX. in longevity. XXXX the cherish in competitive merger product carry existing an key destination made We who to benefit We incredible The will portfolios. company from significant and second bag product of up cross-selling sets professionals combined also opportunity a the portfolio financial of inbound be One is and ramping seeking to interest our immediate investments are in cross-selling who continue sales for a none. are personnel receive sales choice to significant

continuing throughout and cross-selling available. mentioned, planned accelerate opportunities become is will force and as As XXXX more as cross-training sets sales

scale We output demand. also time allowing made our in in resources Tech manufacturing higher production up to Enabling long and for capacity, preparation increased significant investments lead for components

are partners history our remain development, of is that the product standard forward address as From with to leader gold to surgeon rich rapid we XLIF development work industry an We final the care standard across CT procedure unmet reorganizing the proceduralization surgery, carrying spine lateral and We're intraoperative the of cage marketing thought the clinical best and advanced pioneering surgical leading needs. now key spine industry. with most the the technology to of create expandable working create imaging. the all developing to surgeries robot of

PD been as our of for increase industry existing a have to on search Coast further decade. interact strong forefront business. the remain last has committed the we continue our programs portfolio on be at surgeons property and in in and them projects, lead, navigation all #X engagement accomplish West robotics. Tech with arenas this, And we further to intellectual we'll focused this our we spinal strengthen the Enabling impact continuing of with imaging, Enabling to we in aspects to Our We're and expanding and presence To especially the committed are spine and the solutions. enhancing Tech how

teams and scientific and team marketing talented Our we've professional affairs, been expanded, communication has added with individuals. all affairs

of In coordination in-house teaching strength in Carrollton and merger. enhancing the clinical our institutions. of our of education addition, presence programs synergies. we're We've as increasing the ongoing production of expanding remains our research begun investments, West facility capabilities the the Operations and expanding part

entity. capable The expanded distribution for the now Memphis distribution combined supporting of center is

working invest in to focusing and are drive continue as We're orders planned. future also for targets implant, high-tech been Tech with will growth out-of-pocket We Enabling instrumentation and these progressing our Synergy manufacturing cost All have to third-party delivery consolidate vendors to match to volumes and prioritizing production spending investments savings. accelerate and identified, on capabilities. equipment activities times plans.

XXXX. should and implemented steady being reach midyear are structures organizational state by In-house

since as commercial support and our faces teammates once-in-a-career familiar that team sales them the sharing a It competed and the me watch or are for worked are. who recent coming profitable some impacted held reorganization, event a the U.S. We or cuts. showed of building hesitancy to to not an to a payback for by against. first by both to The meeting and deep growth. and want interesting I leadership remain sales well-balanced the support merger they We long-term slash-and-burn this exercise focused of While of team employee really create worked was have conclude force combined saw driven organization sustained remind with, spending we restructuring. X merger together organizations the been best evaporate as is opportunity. national time is not of our together merger on the they've employees participants combined that by recently and bringing we the

from energy in fair, Globus get strong that the tell win. room, in can By This from no a innovation X longer to back genuine product or came came team who field There NuVasive. and first in combined more markets. you out evening's our that excitement that been And the the greater. different. and has us was who only I resources we're the It's than portfolio on and I focused the for our to my feeling meeting international potential belief future believe harness to shape to reconfirm are and global. we alike our unstoppable. combined, of cannot make the really never for when sales wait up Globus meeting

we need everything realize to have our this. We fingertips, at

closing, CFO. Keith. want a is call Keith over suited on this Chief I his leader, Keith is and now In will I a Officer, well to Pfeil recent to well-deserved partner role. congratulate to turn rock-solid Operating promotion the great for

Keith Pfeil

and today's you, thank good us call. everyone joining Dan, afternoon to on

and XXXX legacy XXXX entity. on a QX as-reported as summary allocation now My an provide focus and commenting X are and comments updates today full full reported as February reporting as announcement on year and well year results, contributions performance, results, initial the Globus as basis. updates will XXXX performance provide NuVasive today on QX on on comments quarter past a first than on focus on are comments business integration will insights merged well our for views as on We our into year tracking providing from more full longer-term My as the capital the priorities. our on merger synergy

NuVasive. for information legacy policies applied accounting on has Globus presented in legacy is a Globus based all so As done results and reminder, the and as-reported both consistently

result basis expenses. was was income currency in million, $X.XX revenue $XXX.X in XXX.X% resulted costs which and per the by diluted NuVasive. of $XX growing QX the $XX.X EPS grew quarter, prior year non-GAAP shares reflective non-GAAP while grew $X.XX year earnings constant on GAAP over quarter. on XXX.X fully a non-GAAP QX of net shares a Net million fully million, in driven count share. basis higher million 'XX share 'XX X.X% share the diluted over QX XX.X% year and net as-reported an with were the of XXX.X% merger-related of income illustrate, merger 'XX prior quarter. fully diluted per versus $XXX.X and as was QX To non-GAAP a earnings prior million resulting is income

Full selling and NuVasive less compared adjusted of $X.XXX with adjusted with X integration $XXX.X as XXXX. EBITDA XX.X% which diluted the Day earnings deal XXXX totaled sales of was as-reported and $XX.X growth to million, XX.X% in was growing day currency an constant $X.XX flow generated a cash free on associated per resulted QX Net as XX.X%, basis. share revenue billion, fully XXXX costs 'XX was in million. merger. income and year was reflective

a earnings per $X.XX generated result driven delivering XX.X% basis stock-for-stock free per of XX.X% income on per million The is lower year million, adjusted $XXX.X fully a count prior merger non-GAAP was of Full year. of prior was non-GAAP year, share. share earnings Full while XXXX as cash by and increased the income net grew over year we grew rate diluted EBITDA flow. with share the growth the net XX.X%, over NuVasive. $XXX.X non-GAAP Non-GAAP share

prior million, and Legacy in into were spine as revenue, quarter musculoskeletal U.S. growth growing $XXX the 'XX sales share growth or quarter, further were to quarter. within Globus as QX than the as international XX.X% XXXX year our by Moving for higher the compared led with XXX.X% of year fourth musculoskeletal well trauma. sales prior $XXX.X million continued reported businesses

growing the X.X% million, Our placed. see year the XX.X% Capital Globus strong was QX prior $XX.X over units continued the XXXX to $XX.X quarter. year quarter. Technologies was million, Enabling uptake Technologies Enabling compared on prior in growing revenue record to Legacy revenue

mix country However, revenue growth arrangements. was on based tempered and financing

growing was quarter X.X% attention in sales. year in of our over was growing million, growing XXXX within led for key to Kingdom. fourth in to higher the the driven revenue XXX.X% the fourth International Australia, the continued The as sales fourth Turning Legacy growth by quarter, and QX Japan, U.S. the international was Brazil, $XXX.X year prior primarily Globus quarter Globus U.S. revenue revenue as $XXX or growth. was XX.X% XXXX quarter quarter. prior of $XX.X geographic $XXX.X prior U.S. compared the focus XXX.X% year Spine million by including the prior implant to was Legacy revenue reported reported Spain in million, compared increase countries, quarter. versus Italy, million, United year. strong 'XX

was profit, GAAP XX.X%. in The gross the of by decrease excludes in step-up gross the namely was which of gross was impacts the quarter in XXXX NuVasive the XX.X% profit merger, fourth XX.X% inventory profit GAAP prior inventory quarter. of the year amortization, Adjusted driven versus amortization. step-up impacts

step-up profit profit metric gross the will GAAP of year of to impact of fiscal next as costs lower was the implant GAAP in sales. XXXX continue as spinal a gross the gross fourth XX.X% product driven profit of to quarters on XXXX. quarter, Globus in for quarter by We compared higher report expect several a mix XX.X% result for prior a Legacy most consolidated amortization adjusted to

the the profit, XX.X% Full legacy cost which a Legacy over Adjusted profit to prior full with year driven which as was of impact year, was year year gross reflects to in of merger. the by XX.X% prior for sales the NuVasive XX.X%. Enabling year, initiatives. amortization, amortization the excludes the compared line profit gross of XXXX of prior was manufacturing chain result Technology the growing XX.X%, savings Globus step-up step-up supply GAAP the XX% inventory again GAAP continued impacts gross despite XXXX and in impact

offset XXXX, chain Research and begin or $XX and investments. adjusted Globus were continued freight in and and supply R&D compared with gross expect sales we investments year prior expenses million or increased million to Technologies merger. sales as lower with being sales $XX.X the warehousing full driven X.X% Enabling increase to $XXX savings, $XX.X higher impacts in Enabling impact R&D the merger. the development reflective leverage of of $XX profit dollars realize year of prior million expenses. to year X.X% Technologies The The X.X% by of in for the within or in development our is the $XX.X NuVasive ahead upper reflective the of to was compared a XXXX of of we mid- partially sales Looking compared million X.X% full the portfolio, expenses spending, or by of million the X.X% $XX the percentage to of of as Legacy or X.X% million sales. of to million expense or impacts rate sales primarily research XXs our spending of be driven X.X% year of NuVasive XXXX quarter. compared to QX were Globus year sales $XX.X of QX sales increased in and or namely Legacy or in XXXX the the to is was million by prior sales the primarily expense both primarily X.X% sales

sales in compared Looking XX.X% $XXX.X the million XXXX, to to XX.X% Globus the expect the X%. of year were SG&A impacts million the be ahead range sales quarter or impact merger. of merger. of of $XXX.X again quarter, expenses NuVasive which $XXX.X sales, XX.X% reflecting to expenses Legacy in XX% Full X.X% million fourth were SG&A million of XXXX million prior we expenses the expenses or consistent to year. in $XXX.X NuVasive of or prior the sales sales R&D prior or quarter or the the $XXX.X year, were in compared reflects in of SG&A to of the fourth with XX% year the

as benefits Legacy a well $XXX.X in year XX.X% in Globus the by prior sales current or SG&A the for year. benefit travel costs bad higher expense by XXXX slightly million onetime driven were debt people not did increased repeat driven in expenses as that reflects of and

full XXXX, fiscal SG&A to driven expense X SG&A factors. we our year by expense to XXXX expect as percentage look full Further, ahead improve XXXX, expect we over to Looking of X to year headwind interest an the XX.X%. points we X ahead

year-over-year, of cash thus will income credit paydown the forward. $XXX.X decreasing -- invested moving our which First, the balance at balance cash be NuVasive by by driven our line merger of million, lower merger interest close, closed former at decreased

$XX driven a rate; million $XX.X net driven in expense to X.XXX% of cash the be the adjustment income. million On million impact of GAAP to fourth 'XX. merger on XX% GAAP interest fiscal to relates occur normalized tax by basis, to item QX the the the portion fair quarter. of XX.X% the our primarily will XXXX, expense senior compared second interest in value based $XX X at range in in time XX.X% interest of the convertible note. the in was of quarter this secondly, lower versus and The the in nondeductible estimate from of portion was for a The the noncash XXXX rate amortization on pretax on note first, expense the parts, merger. rate non-GAAP fiscal by tax We income Interest effective costs of interest note

with XX.X% we repeat driven Our costs, to full increase year not was rate future. by XX.X% resulting in expect merger-related XXXX the the tax effective which compared the year of in prior the to impacts do

XX%. rate liquidity. full be and to Looking ahead cash approximately to Shifting year tax effective to XXXX, we our expect

NuVasive. credit borrowings intent to to our of short-term the remains against until as the assumed XXXX, be convertible are long-term these which in cash, with XX. due securities year-end March due our were million senior were unsecured marketable were equivalents and X.XXX% of $XXX.X our for December our merger consist of capital structure no It notes be of line and part cash at There part Our borrowings in they notes XXXX. settled at

flow Turning legacy operating flow million million. and with growth was $XX.X activities merger. attention being flow. by cash by provided million quarter million. the remainder cash operating was the $XXX.X provided driven the $XXX.X $X million by that contributions approximately was XXXX year flow free to net by and cash driven QX QX NuVasive prior from of and over XXXX free cash net cash million $XX.X $XXX.X was the activities Globus Free cash grew

Looking to expect ahead. a to will XXXX, we a year with Consistent ahead X% remain moving to unchanged of CapEx full X% within on our spending allocation be of priorities range capital basis. sales history,

would transformative of to continue merger. inorganic investments and for of while expect strategy use we of will complementary of internal moving primary which tuck-in term, deal especially opportunities to capital Our integrate meets needs fund a as development, our while be facilitating In M&A, deal, inventory NuVasive product forward. opposed the near the any more CapEx be to type a we to the

inorganic utilize uses capital by Board structure. our primary organic Coming quarter, our our fund capital, repurchases. repurchases the share and continue within a fourth of investment of into we $XXX.X are total to of Though authorized to share Directors we million had

approximately fourth to an X.X its of we price During $XXX.X $XX.XX share $XXX.X remaining million spent authorized total repurchase company under shares the program. approximately million has repurchase of The average at share. quarter, per a million

begin the The redundancies, cost well have an to centered and million taken and of of those X. we start over the the elimination a warehouse duplicative savings negotiations, the as and operations, we've and to synergies, year over realize X with year in realized years these to had end a attention on ] savings. focus Shifting across NuVasive. business namely X, synergy been been to last systems of have of XXX% year of $XXX expect Since contract [ being update, as steps in total result X of integration the synergies third-party of activities. year expenses still savings by as merger SG&A XX% XX% cost we've generate

each sequentially we are As move savings as we increase expect synergy actions through to quarter planned XXXX, would realized.

will fiscal not savings greater Rather, product to in renegotiations, in cost of focus cuts we areas be of cuts. cost equipment, greater efficiencies further so will Primary are moving fixed supplier will contract drive with our manufacturing leverage drive investments ahead through and Dan drive well and is As noted, recurring also within creation. a slash-and-burn manufacturing in-sourcing do supply to in and cost in machinery we sourcing, exercise which the third-party and manufacturing drive the as XXXX greater key areas focused value as chain.

in At is the year confident the and beyond. updates targets time, forth We'll company $X.XX diluted feel present $X.XX. progresses. projects we in synergy achieving $X.XX its the the set present provided the financial which to previously to to in earnings share the for fully of range provide At and $X.XXX time, XXXX guidance the as for to XXXX, continue per range sales net billion non-GAAP billion be of reaffirming be to

the for as our guidance revenue of sales of result sales dis-synergies, a for X.X% merger. NuVasive X.X% based $XXX forma pro includes net roughly to revenue been would growth have fiscal of $X.XXX projected billion. sales Our XXXX approximately XXXX on those projected dissynergies Adjusting million

for actual per shares. XXX XXXX the shares earnings and diluted implies of growth non-GAAP full shares to million XX.X% million fully fully assumes versus diluted share guidance approximately year XX.X% Our XXX.X

back we success the on of our As towards by continue ability forward the key keys to the bringing organizations while into go-to-market in push Tremendous integration will to in state our geographies. we we near more goal continue will our will has of In term, strategies the a look moving focus steady with effort execute. together XXXX, midyear. merger and

set on flow profitability continued achieve our will seek improvements. value goals we value cash as and focus creating focus execution to shareholder capture a Internally, we operational forth drive enhanced will creation continue on with synergy and drive generation. The key to

will for and their and surgeons. need listen bring to be we and separate are future needs. and is we goal care, effort If we constant from to remain through of customers achieved we entire To for their innovations. to our excited innovation will listening, achieve be relentless our and the the musculoskeletal in execute ourselves continue thank Those with focus pursuit the which contact successful, Globus the the by to excellence. to to want that We improve Our patients will innovations competition. customers, active through listening market best-in-class and to team the procedural

Operator, we call open will now the for questions.

Operator

[Operator Instructions]

first of from will from the Fargo. question line Our Vik come Wells Chopra

Vikramjeet Chopra

color Two to And to for maybe have integration me. what all question. you you upside Appreciate I downside? about the the the talk a surprised of But can efforts. follow-up as and as the well then

Keith Pfeil

Thanks, as the and relates Vik. Keith. This cost. upside to is I'll take downside it

be As I opportunities at to more think about in operational start look -- business and there to dig as improvements manufacturing. and in for more, we me, continues to the great

I machinery at really with in get and to to cost looking allows generated prepared that overnight going be manufacturing to remarks, improvements NuVasive bringing inventory. because got my those got online legacy new cost fixed the savings our we're investing then think won't start the I facilities be and equipment. and produce for to commented leverage together in That's as you

I we're overlay see savings would 'XX -- we're today, also 'XX. think look the to more in back you'll going so I approach those to look where the continuing spending. at say Globus I then And side, that of of I think into as kind on some and I at SG&A.

a isn't I think there's commented exercise. But saying slash-and-burn opportunities this there. that Dan in that,

He commented places forward. about money. to affairs. of Those more he about more talked spending the drive invest will scientific that that He some talked we're on business are places things we surgeon are where moving the And outreach.

Daniel Scavilla

Yes. too, And I'll add Vic.

the common, different. together embrace One really was thoughts, of was I the my they of come had what what in to the think, and willingness with teams not upside

Not readiness be and the of big and came together need quite much just thought when infrastructure. surprises, to as would heavy support to common common processes field fun so to the uns*** after The much things, really downside of common and the you run in-house, you drive a go the systems. so an I not go was the some need great. it innovation of do they're way to that so lifting and just And have go reports the grow. room that also I in just

Vikramjeet Chopra

Great.

Just follow-up. a

recruiting I QX some competitive your those think how meaningful that just trends out broad talk and reps. XXXX. from shaking just have then in inbounds and Maybe have how said retention efforts you about you conversations in been in you and hiring see

Daniel Scavilla

you itself. We'll well obviously in make got But tell start it. say reps competitive XXX right now of focus taking and hired getting would could do a is foot with in They're cheat going so I guess in quarter I by that and X strong that. that us just competitive We Yes, and be was traffic done. coming after the fourth meaning have we've you in They're was recruiting and we're it over time lot years our things. large and been I proactively first had the It technically past it we're general that can of in XXXX. our expressing that couple with part. size. the significant, lighter counterparts Well, with than meaningful. people they're a interest in, sure really with to established so certainly

a result, as quite I so And what not it to I'm traffic. pleased heavy a recruiting, as quarter with far main back to, see as so but with is this get and focus

Operator

of line Steven the from from Oppenheimer. come question Lichtman next Our

Steven Lichtman

is placements look Keith, market? something you remarks mix we And of Technologies of sales? hit should outright mentioned seeing competitors that about arrangements. are you guys, financing more we prepared Enabling in Are particularly a new the to from you -- for more versus relative your some as

Keith Pfeil

would for I sales. saw volume-based Thanks it. QX, great more So that say in question. we

interest year-over-year the rates what's difference higher. So are

the deal. will rec, that ratably to So occurred recognition, portion income when the that over life rev the revenue of be a you or interest think recognized greater about went the

the primarily that's volume-based growth I forward, because of driven will arrangements. business, about interest the really, moving talk on see I impact. really And it's more X% when So we base as think about

where it's point customer this wouldn't going think driven driving for. really quarter-to-quarter. more flow looking ebb based, we're and start volume I the what to be say going I going to inflection is that an by really each is be it's to of

Steven Lichtman

that Got know is AAOS, guys -- the ground? required in FY secondly, What of of it. year. get system think any is to Great. your you commentary. business off that in earnings And And then level I at talked going ortho be just this business. potentially the terms showing of I your investment 'XX to knee about embedded

Daniel Scavilla

Steve, implants robot the or the are both? you talking about or

Steven Lichtman

Both.

Daniel Scavilla

it would tougher. make Okay. That

but it's the itself not approved. built, Now is robot actually yet

any So it isn't with something XXXX. in our in built significance we would have

have do great cementless the forecast light them in been some knee get yet and we and have approval. they into press for get to revision building just through because updated fit or We've While products updates. coming

So not would to of as us second to all I just I it at you We year having the FDA off course. that conservative plan not look that all in a half anticipated take signal as of approval not the them had seen we've are and achieve. were needed upside. building would of and in those anything

Steven Lichtman

of in that investment level off business year? the it all the at meaningful and this of of Is required to to get ortho that relative built kind And ground. any

Keith Pfeil

And costs of level the treat -- as about development the costs, incurred. our to we say we our not development would would they're I year. we be think expense meaningful investment as that

So to there's not expense waiting hanging through P&L. the some run

in P&L that and -- will will we think come stride through it XXXX. I the

Daniel Scavilla

anyway. you stuff is years the add to of of One couple has I'd over the need you, been past to to get other market spent Steve, all thing

built a And as into 'XX, level even with already so have well that. large ortho as earlier you investment of 'XX

would your we So are. take you model you that or from in see shouldn't a blip significantly off anything where

Operator

the Mat Blackman from next come from question Stifel. of our will line And

Mathew Blackman

I've bigger be should guidance we Historically, I Maybe -- where start got guided but have Curious the picture through you've question. couple for for to gauge you high lens just what just a conviction, there's where Keith. a upside. 'XX looking range opportunity also to think a guidance.

I now one has the philosophy So combined first your have changed follow-up. company? question, guidance then anything for in And

Keith Pfeil

about sales the out sales that called I we're is that I that ] we the in. that line business because exist. remain but the extremely [ growth to of to point something we dissynergies would get guidance, prospects, top we excited XXXX I would could say feel the that our dissynergies our say and across wanted confident XXXX some acknowledging

of bottom a I the the really in a think to of expenses. together, reasonable. it now. think to the lot I always remarks seems we're I you're really sought middle my XXX but I SG&A gross that beat, to XXX XXX pull range try Obviously, relates R&D prepared and number. standing it you [ And XXX going As it's relates today, kind to line, of that to down ], that's mean as where to color as to of provide when profitability,

Mathew Blackman

which But I if if I to framework proxy XXXX. that of still appreciate touch back best stuff Okay. I EBITDA, recall, on really proxy. question, well, has And the we then you've work your that. apologize to the give didn't through. advance. that a as point ton you numbers, the highlighted a P&L this EBITDA is is in in been that so curious, us something for outlook And look is did on actually I'm your commentary proxy we complicated for certainly and

But and that, for laid I up the always to think out, else 'XX number an think timing the XXX about it call that the range. out I something Is there. the appreciate still some to XXXX And the EBITDA it that beyond that changes shifted and right it? synergies, impacts the was proxy. in there's Or so some that way with change you've XXX adjustments the something make million. perhaps for in have like EBITDA and roughly we're when $XXX we of coming synergies

Keith Pfeil

That's question. off. I far too not would a you're great say

one sense. things the S-X, did think we say would makes you as When the I was different a about the in of that more during that Enabling think Tech year. bit I little investment

little I business impacted a you really base of range that But provided, lot So look going think your when you a profitability. makes of forward, bit sense.

Operator

Our from of RBC. line the Singh next question come Shagun from is

Shagun Singh Chadha

million included I guidance. provide XXXX give the did we about there then out us any cross-selling dissynergies? -- on then what is of follow-up have Can How think a in should a that? call And opportunity cadence on that? in us help you follow-up. Just $XXX And potential any you

Keith Pfeil

businesses. really million, our that throughout $XXX the the continuum year the all looking at across say entire would I we're and

]. to year to have to it guidance As number XXXX to cross-selling relates to XXX assumed [ cross-selling, anything would we this add Dan, that? in our

Daniel Scavilla

down as Yes. the Shagun, it tell way to We're that. is what number. the X gross cross-selling. it's do soften things referenced to and through that for We we've you in. $XXX the that been is like Keith I It's from going that But would just just a that point. built other million that natural offset a netted not look to would cross-selling and growth

Shagun Singh Chadha

And Understood. new shared larger one owner X you players that last competitors have spine from years. market the for then a to has coming major robots several been market including potentially

question. How these offering? robotic the ability of think companies you implant their may So own dynamics expect new have do relative you two-part of the I the And market do to better market? systems compete defend guess in to your the as share to a in kind how position

Daniel Scavilla

for we've in called to We've size great reach competition, poised Yes, months. may compete of order to actions be question. this but that unmet okay. is there. day, got robot penetrate even the We've have end large the arrive think to also the the see and merger it's really you faster that this to fashion. compete Part And would create XX a we That's be further. are in set was only to and way. clinical over this superior. taken coming doing next got one not We're of need. the years, a defined with which a At that It's the

think why it, putting head-to-head while to over meaningful that's I you term and think for products about sense. we're and anybody customers, And would be well there go out driving poised that may to differences. with in make the our so I on more choices And long focus this have innovation

Operator

from line question Saxon And of will from our the come next Needham. David

David Saxon

in I'd the saying from to getting feedback you to integration. the start you're Great. on know guys reps in of vacancies how territories it you kind thinking you kind that that are of disrupted is but with that kind you you're about some integration most I the November. in is were completed expectations, attrition are hear called of with And seeing, then filling line territory those of attrition congrats competitive love and the Maybe quarter. on the these out? sales following reps the

Daniel Scavilla

personal well reps Thanks, uncertainty. state the appreciate making change changes as adapt going it and nature for human of David. Obviously, a and don't matter in in and or most you're people becomes

quick is as called is up to honest with I've and have where the fantastic. throughout you, we been I'll And majority been can that how the work we've through willing meaningful. that out Remember, or going sleeves have to the So clearly spaces. the had very overlap. quickly as be low with worked teams the the world cut up figure to and out roll thing we vast

unblinded, In the fact, X% we it by time in the neighborhood the U.S. was were in of

I wasn't So a thing. may as that so untangling we that think departed this have they're the most major change, sporadic. for it much attribute amount of just efficient reorganizing Areas to

this it. go here. certain we're or density Again, it areas they are think they would call the was in And comfortable don't change like of and that with to somewhere working filling comfort, would through I else. a personal just I more that probably out

we of of lot reps and a have reps. We need our all

where growth we that eye looking on in years mechanism. past spread we recruiting the as as and out, and keep a use will our we're have focused competitive So we

David Saxon

to then target about -- cast to manufacturing and capacity? of your of the robot love accounts ask to launch. what launch. type going in What's think ramp robotics And as initially? you [indiscernible] we kind should the base? installed the confidence the Okay. supply implant how I'd Like are around Great. And your you then on strategy knee I the hear wanted build

Daniel Scavilla

lead tell we not ordered for also I have long the certainly this. you're we've welcome. merger, would capacity the expanded components, and handle time our but to No, only you,

go. So together quarter I set and well been early The you where need go like way. we'll through right come will I as through more slowly and up truth the We've when before scaling it. would we approvals feel bigger right an to do bit to we as quarter get the into we with and and tell get is this sets we third we're a now can launch that implant second little strategy open the now. it's understand strategy get because

but of course, as take ASCs the where to well. prominent all place, we'll is hospitals need advantage by in means, given those Of procedures be take

Spine areas versus we've ourselves, establish the we more years. what So concentric And up in circles, we you like with what start hyper-focused. build going until do Globus, over as is being are to be, we'll do these momentum all continue the and covering done we'll invest

Operator

will Miksic Matt next question Our come line Barclays. of from from the

Matthew Miksic

the an if talk and into the progress And color. the great shaking all how pertain diving out maybe, a for on ASC, ortho. to that's things Dan, does congrats little it opportunity mentioned that business spine And as just going big about was in And doing the the maybe business, one Curious you of through how follow-up growth you the is could of one could. side? just about for or percentage the that I Globus to participate in or NuVasive opportunity you had that then what of your or legacy the on if combined terms you're both ASC and bit

Daniel Scavilla

Matt.

certain business a segment, disclose won't we obviously. So

procedures What X are is course, migration So the of leave we we ASC. what recognize out. get that at is, a and I'll out a certain that into at of looking there cadence

And Enabling as that particular as just way in Tech navigation that still understand organization. freehand place ASC we do so appropriate, as an new and combined well. we're area the best looking To versus strategy as through to versus the putting we're period, date, working together what freehand to we're want to

any imagine significant calling won't deviation can't size to XXXX. it any again, be in it I But out

the think and into at we year better stronger that be a probably as in the for together this force, that and I bring fine-tune feel later one we'll XXXX. it's sales get push stabilized

Matthew Miksic

We about some it. then just dis-synergies bigger when we speak to on Is period until through here and working follow-up another a you NuVasive maybe sort have and QX that you've what the Do is the getting if of slope dynamics pretty concern help opportunity we're everything start downward and from -- I will the were look field transitional apprehension than some But we are we or that risk we think. the we the maybe happy of that [indiscernible]. on put like numbers last of with of about on are And the Okay. way year of for I integration there's wait end all to the think data to for appreciate I the signals talked maybe that were talked the of QX. still think way, finally can or of things combination tail QX us to that in on about. or feel came expecting. do about forces in, some investors the if that do points that could

Daniel Scavilla

but is out out when the of implementations, saying bumps we intentionally by think Salesforce doing we getting in system is quarter but think what But Yes, steady more the way. which My me grow. it's quarter state guessing would first the touch quarter, second through and is on this the we're be only June, activity month's exiting to that and I settled curves, actual is. you cadence it work you I'm would that in doing guessing through back think get understand learning share going that for first But able exit be X year based first quarter is a the the that think in take a has data that call should having question, second, where great your the you you just thought really and into we second best, a what stable. really see that here, the I to and be into innovate, it I quarter and would do what would

Operator

from Sandler. of comes Piper the from O'Brien line question next Our Matthew

Matthew O'Brien

lot moving But getting if as you I wondering there's starters, that we've stand-alone that dis-synergies, X turning in cross-selling baking for that's this but do $XXX just and maybe put in? the here. about the guess I'm -- And in stand-alone Texas out? we year. take heard GMED a lot you think ], X $XX right? benefit then I'm seems I a like when NUVA over, number you just know just Is of parts about I year. what know that here million like dissynergy Great. of that, like the year. exactly seems [ million about together,

I in So a do then being baked And have follow-up. there? what's

Daniel Scavilla

have again, control at remember, would market. Thanks, created being Globus, we in what look become conservative look just we dunk. to or we in we slam a we're Well, not and putting we're realistic we possible. so Matt. beat that estimate, it's where We're the we're market numbers #X what out that saying disruption a as

to stuff. to I react to we would so you lose think it that. expect And folks not And unrealistic think would be

an it's but So factors. not estimate, on based any really

comment build area to out to look that certain calling as You're on that from wouldn't side from I geographies just I because way. number a and like we top go from said, to an more it did

Matthew O'Brien

I mean, low like $XXX with overlap, the even But big that million Okay. number. a seems

Keith Pfeil

going Globus Globus going products, reps be is bringing point when be that, NuVasive combined to procedures. together but NuVasive Dan's you're and Globus you cross-selling at look step before looking to Technologies. Enabling at portfolios lateral is looking XXXX, team at I the When be But They're from at that's say at NuVasive consider the again, you legacy gross about offset to legacy that sales look number. large looking to to back going expandable it cages. the earlier, sales, going at look I be at a X%, opportunities to number looking the you when is mean, the I'd

there. million. imprecise end us of basing cross-selling $XXX at science, the on And in an in it's There's we're see. but that's So we the there's that day, not cross-selling what

Daniel Scavilla

gross that by putting we're you out a at beat saying. put we came historical growth, then number beat then on outgrowing X% We're things, would that you you and through to middle number you just competitive picked And that's out XX% cost look be could Yes. that's formulas, okay, norm, account with we'd through disrupted. sales when saying, based in through if go through just what our we we're say, selling, then do that But the hiring, say natural again, number. to between how the of the right if And up it. be

Matthew O'Brien

Got it.

the mid-XXs the to deal, as Appreciate post I when the we're a -- this EBITDA, more far next, like guess, as far did XX%. guidance in as EBITDA that. expecting back And X I think of XXs. on the It's X you'd Okay. lot year you that even of get is to said years Blackman's Keith, guys kind then, back over leverage as mean, low Matt kind closing, to of goes. I be you question

mid-XXs and just of that comes P&L. -- getting back the and talk confidence in kind from where that the about So to down up

Keith Pfeil

is So about think When in [ that. $XX XXX the ] we're out, million. called about we you XX% confident this year that

to XX% XXX%. then going to You're and get

longer you cadence, happen items. comments, important the my quickly. those talked it's of manufacturing about in Things to are As think and prepared more Those think and lead about about some time R&D, will operations. SG&A in

So of that's or million, would be think I when going about the COGS. to in $XX say, XX% you give take,

manufacturing XX% drive future but The we of the SG&A other going P&L for the seeds R&D is XXXX, profitability. to have and to improvements to improved in plant come through

improvements half things renegotiating I'm the of of bringing with see is cash I'm working to So year, because that flow going to thing and pay if this attention I What inventory, the and I'm does just because we mean mean? as cheaper raw what materials back in that them into capital especially buying that year contracts, in-house. buying does get

will those XXXX, 'XX of I'm in I'm 'XX be that in later see and that, inventory that's that coming where I'm for which to inventory, going benefit, 'XX online 'XX. and and and that to the producing lot sell you're equipment building going a in investing is really -- I that's

getting So I about good back view that. to mid-XXs, perspective, our feel from right now, my of

Operator

come question from And of our next will Taylor from Matt line the Jefferies.

Matthew Taylor

wanted you ask interesting site of One kind items. that was bought just about back I thought two I was QX. stock to So's it in

at your So were M&A guess priority. not talking year ortho about we're And opportunistic year. then could could about of I maybe that know this I more And be, later you whether the next maybe from year? expect this talk just AAOS I the some robot, you material, do tuck-in you the would know be we my to to but do that, see and because was you question was decision said contributions that that

Daniel Scavilla

Matt, actually I'll this Dan. answer it then to and off hand is Keith.

So price buy our and stock deal. has cash the we're market use is at look, a to opportunity reasons. the it take think strong going actually we overreacted reduce And for and up to actually that to that and other the set back dilution

plan we'll go. So strongly we'll of the now. is believe advantage We keep going long use that That but it's yes, but it the be first to for play this the opportunistic, it's where our one. to term. because we also doing would

and AAOS really For it. we're robot, with the happy

in that yet. of hasn't be approved. would filed haven't the XXXX. We going we It year. expect would moves said, material I the I in I you, tell half it's As been to think second of not

to be a XXXX going of that's story. think I more

Keith Pfeil

It's Keith. add really I to don't to lot have Dan's a comment.

I think on it head you there. hit

Operator

the come from Zimmerman Our line next question of Ryan will from BTIG.

Ryan Zimmerman

on I way. a want maybe in follow up different to Matt's question

the dissynergies, FY called take If the I guidance think at out number, lands look 'XX. come up where billion. for backing $X.XXX When X% to or and so I about kind of Keith, you you out prior again, you

of the what been of market rate? than It the the the of that AOS healthy. faster And has of view so rate? I market market out growing Is early like at guess relative feels pretty that part market to is I'm number? curious coming the Is growing in your kind the year,

guys are so And that that growing below market? growing you slightly are market suggesting you maybe

growth you where that and it point these company, have I of within second neuromonitoring models to but the X then within all cervical? piece that Is ], together different maybe And think us support all know is, [ see Is the now and it's we question guidance coming X.XX when help the international. now and from X.XXX kind from? you about of that to old the segments,

musculoskeletal would maybe if to willing beyond components helpful. those comment and you're be of those on Tech, some Enabling Just

Keith Pfeil

Yes.

the So for question. thanks, Ryan,

procedures, both you a think expect Globus a of to commented So sell at sales Globus pretty growing think about the wear, X.XX Globus about clip be will When share on think legacy they'll go that what looking moving X.XX think if about question see team NuVasive each cages, I on as be earlier be Enabling look growth Technologies. on to to I the that perspective, Globus lateral excited nature. from side, a previous legacy Legacy we've I internationally. expandable for implants I things back focused I will NuVasive continue to would historical and and of I spinal see internationally, good forward. been numbers, growth

business better Trauma, products portfolio drive to we legacy well. growth. NuVasive think that we're together and together some our continues trauma trauma perform as that going to be has in share well

a being back where growing. the X% you about bit we're you or think really cross-selling to Tech, seen you've talked and your initial again, to X% brings I U.S. that growth question, that about Enabling As Spine gets That and little back or opportunity. the

$XXX these have the called early on, going dissynergy. out we're So We to million dissynergies. gross

the there's year, point, the year. that state to to the to year steady clearly single-digit portion a the mid- here we're first, quarter, into Our is working dissynergies. second you're half you're the fully of still first but growth, provide growth really this second for rate going moving high first of this to forward. be believe towards getting we But can acknowledging into slowing down getting that and Dan's We move

Daniel Scavilla

Yes.

you've the we too, leverage. this, can because say right, fun got point, that I'm to your thing -- Ryan, everywhere going with to great a disc you're I think the it's back growth cervical

EXD. and EGPS got You've

on. to going the systems and go a could to the out cross-selling. that our can on that apply lot You're have neuromonitoring There's we and go there we business

what concentration. looking portfolio really focusing or to of is think on showing healthy I that X it we're the growth all So versus areas X way do of throughout and

Ryan Zimmerman

bone in party to squeeze you I I'm answering at but was AOS, appreciate here. you're and feel a do I'm your and did appreciate that where move within curious to that of moving ability beyond robotics to you in that the Spine? core I of terms see you will, application within the joint within question. your just spinal applicability I the you you maybe did you're questions ceiling And competitor and to seeing some reconstruction, feels of cutting, see maybe you chance But Then the -- more have. hitting of into et like right? robotics like kind like into going, venture your a or Okay. kind little products like having X of late more, think bit of cetera, what have areas cranial multipart components particularly And offering going I terms applicability and taking I things the if it in within is a are now? a go the cranial how booth, by largest robotics about that's pipeline, new in we're

Daniel Scavilla

And have solutions of the work penetration the bringing capabilities. and robot the that with you've I term. been capabilities array We'll So means. most said, by robots, spinal only infancy, it's a of you all excited also as in absolutely great Enabling X they not out Technology to we're there. further enhance the that their things called cranial time about But if are great room but think question. in I've surgeon I'm and near that We've a things. of A forward expand. There's power well the really experience in about, with talk of couple the and long for all in

procedural very removal, entire of placement, can on application on have interbody increasing and planning. from And so you a the journey bone, tissue soft long

combined, the robotics growth for there's like said, come years room us of touching just lot to come I All and really a lot space all of many even for years. with to for of there of that's combined are a and

I anywhere So hitting top don't think near flattening out. we're the or

this some technology. start amazing changing think I is the of

Operator

will question next Jason the come ROTH. from from Our Wittes of line

Jason Wittes

dissynergies. just fact that I to what took could see revisit X% that's synergy that based to you you just sounds you now, trying like that? to Based partly Or the number? on what happens think comments, on also to XX% If kind have the Is see quarters. due And the of process the is think just to it but you of number. the that And that midpoint right came earlier your your I'm in X next way about how it? to thought behind understand I

Keith Pfeil

Yes.

Jason Wittes

Okay. That's for out quarterly fair. think just And cadence, terms we how about flow then in of of in how revenues year? terms and of through kind can expenditures should you also help us the we

Keith Pfeil

break at I would say to we're point. guidance out and going provide this quarterly not

Jason Wittes

about occurred like market and it by of growing sounds anticipate your guess, you're to based loaded, sounds it's end on made, general already of terms picking start to to leader. a above be of in still half to implied first or year, I Okay. market is that of back-end first But I in of it reorganization that the the Is half. then lot as you amount I up the be the fair the it way -- a sound somewhat going from this you it? throughout just sort meaning positioned it, think comments to market going then of there's that like kind standpoint, kind call, and fair does start share, -- that a you think A gaining of ability guess, your

Keith Pfeil

to but improve would that get way we cost it. the see fair about to expect we throughout as -- to synergies it a The as think That's specifically, year. relates sequentially

Operator

[Operator Instructions]

Our Bayou question will Bank come Securities. next Craig from from of America

Craig Bijou

$XXX Wanted [indiscernible] that and expecting that million Great. us first year think roughly I maybe XX% you the to gave X. of in revenue and ask But XXX were number. appreciate that of on dissynergies you

still X, of for in some reconcile be post $XXX and So I incremental kind to could deal? that year X wanted there year just synergies million 'XX

Keith Pfeil

at thought taking we some as mean was But in generally for The refreshed S-X felt number. X building from point when synergies current So reasonable seeing more And the a what like a year I more on more in information, just was be would we a a overall, really X, gross plan we good time, document. S-X say, we yes, incremental there I the that still XXXX is could $XXX based good year our number XXX with on think, post commented was looked at million deal. look. perspective. we it speaking, were a it

Daniel Scavilla

Craig, you that upfront as by and in early more you and and occurs probably here I exit you of of to you X thoughts gain offset the is time one would in then cross-sell that that years traction, And type the add year X. year the activity

years the enter the So offsets neutral in by the and to put the cross-selling outer coming S-X out you time year. in and that out the fourth in the and the growth bat the upfront way

Keith Pfeil

the And also a little later, a little actually the of bit timing when deal closed an impact. also of having is that's bit

Craig Bijou

follow-up, EPS guys. Okay. That's embedded EBITDA helpful, were what's just in to margin guidance? I there's -- makes And if share I EBITDA my wanted see guidance. your And like XX% I wanted heard on any see, I -- mean, the also comments just on specifically before, to a your in it 'XX. math, look I buyback EPS XX%, then for it it's to assumption but of

Keith Pfeil

at XX%, that. The a the for million lot and it sense. leave projected we shares I year, I'll what is think, of makes XXX XX%,

Operator

And Cronin question of line our Canaccord. Caitlin from next the come will from

Caitlin Cronin

there? that updates competitive do Just product is your think And current in you what to your these AR the timing secondly, headset, offerings? competition the regarding any to be of how with going And space?

Daniel Scavilla

to reality Caitlin, with do that now. as headset XR we actually by stronger as sure to that the enabling surgeons. tracking out some out it to well works seamlessly the towards a make our tech well, working based everything offering expect create right Pretty really our augmented of to get activities excited that midyear to on we're

Operator

Richard Truist. line from from next of come our Newitter And will the question

Richard Newitter

-- I was attrition. hoping heavy little on rep on it offense just to that bit going a the and made hiring more sounds like go back comment to on you

quarter, XXXX. in me and But in the of said as a have means, reps I not we're reps quarter kind then how fourth many just Then think you relative that that is XXX hiring interpret are net to what something XXX hiring that normal help net what a relative unfold. that I hired guess, understand or reps. you supposed starting I as had good to about to follow-up. of to dissynergies the

Daniel Scavilla

You got it, Rich.

great I this it XXXX, reason making year. recruiting start why all out. shifted had happen. had okay focus is let's an okay We've way of we in The wasn't it merger this So years. into recruiting you, And our would was tell

your recruiting So naturally, wasn't your quite and heavy. focus level as on of recruiting

doesn't different X the from was really that years. it dismal. mean mean Now last it was it I not

that or call to just It the we deal closed the normally was when replying strongest I fact the record in wasn't I a year we September. like was me out. being

the so roughly or was comment. inherited over merger, That NuVasive XXX my sales then business. Globus through And actually from took reps the

Richard Newitter

figured I something there was there. Okay. tongue-in-cheek

-- a for going Okay. going there in basis thought any going just provide of is a we're seen effort begun? see? is breakout Or you're that I then we've here. we from just sorry, my divisional second. rationalization. the Has to get of a detail. press one And to that lost more should on then And release be wanted one, of product last about This train on think to that? information historical sense you How I And is segment the what for kind to go-forward what also provide

Keith Pfeil

So Keith. thanks, Richard, this is

breakout what Enabling a there continue what from of we've put So and to the out -- U.S. provide well as as we're reporting going is to musculoskeletal versus perspective international.

done to always businesses of continue like each provide will color historically. We about we've some the quarter

As relates we've point. at rationalization, looked at, something not to that is really it product this

we're is my forces really together, to the Right focused that to the us and the earlier focused selling now, products sales on the companies. the the of to our comments thing listening Some surgeons, of listen on both need bringing for listening customer. to patient

Daniel Scavilla

we I anything just that, And time, thought on or they a have that planned will select in don't as synergies or that in add what Yes. customers towards way Rich, we'll and don't would We want our achieve our product financials. but rationalization to have we migrate rationalization. our a and surgeons our over reach

Operator

from Morgan Drew come line Ranieri Stanley. the And of question from our next will

Andrew Ranieri

Just set over flow deal what initially then to generation, just instrument upon just the of how but that have a maybe the of hit proposed off about utilization thinking about one anything NuVasive that cash take generation of of next X hallmarks the legacy think about rationalization, you think, between was or anymore I about I into some investors the can changed the you when of not companies should Rich's looking well, And kind GMED on you X kind but how And of asked, -- cash and tracking thinking product it. already follow-up. X, question ahead? XXXX has you're and years between last back driving two you're been free have for about

Daniel Scavilla

I'll and hand Sure, This with to I'll Keith first. go Dan, it off is that.

just our have we So clarity, in flow cash or in anything rationalization. related estimates, our for don't built to

make it Rich's. to want just I of So sure off building we're

not that agree into You we're finances our pursuing rationalization way. a not product that's built

won't or it cash flow-wise. any So effect have financially

our sales. we get working our have up We've field improving to as and ways ever do we we with NuVasive current on the in team flow utilize assets, needed investment intend favorable to generating going with that's and by that place get turns, same Globus sales, point, a which is do our more surgeries, more our more speed. the What sets to in level cash that to legacy, investments, get output to those not get having the to and do through However, us generate efficiently. allow to of been your those will

Keith Pfeil

And for is really comments And is managing I'd flow savings, of cash that's on cash. we're going when focus predominantly the control couple as CapEx. I X That's $XXX Globus, should as which million we into move yes, X. that of part to about driving that think and forward. business cash translate Part the a add to you think about

to to control cash ability impact perspective, or So drive my -- Globus the give X. going if or you year really it's our invest is Globus, X to see capital. driving going back from sales. flow going on where of legacy improved cash in and is [indiscernible] X% flow better or that perspective carried that take, that CapEx this to or prepared of invested to commented free probably in compare what on land and it's go return assets NuVasive, come to remarks, help to not I closer also generation, my back NuVa X% was and going to look and from R&D, legacy you'll we're our

Andrew Ranieri

quick Got as just it. And follow-up. a

Just anything on Excelsius, getting approved ahead. looking NuVasive on products registered and

Daniel Scavilla

That's X things. key Yes, definitely. the of

interbodies events capable activities going going we're to that an course, we the of quarter, we'll doing for of and look midyear one that the starting be way. pushing within with ever-growing in the on. be and then certainly That's to that by and So forward Reline different be doing system, think or we of should third going and way.

Operator

participating. no Thank concludes Globus the you. Earnings further questions, with you Call. for that And Medical Thank

You may now disconnect. Everyone, a have great day.

Globus Medical (GMED) 20 Feb 242023 Q4 Earnings call transcript