Xtant Med | 10-Q: FY2025 Q3 Revenue Beats Estimate at USD 33.26 B

Revenue: As of FY2025 Q3, the actual value is USD 33.26 B, beating the estimate of USD 32.7 M.

EPS: As of FY2025 Q3, the actual value is USD 0.01.

EBIT: As of FY2025 Q3, the actual value is USD 3.445 B.

Financial Metrics by Segment

Revenue

• Total Revenue: $33.3 million for Q3 2025, up from $27.9 million in Q3 2024. For the nine months ended September 30, 2025, total revenue was $101.6 million, up from $85.8 million in the same period in 2024.
• Product Revenue: $27.8 million for Q3 2025, compared to $27.9 million in Q3 2024. For the nine months ended September 30, 2025, product revenue was $87.5 million, up from $85.8 million in the same period in 2024.
• License Revenue: $5.5 million for Q3 2025, compared to $0 in Q3 2024. For the nine months ended September 30, 2025, license revenue was $14.1 million, compared to $0 in the same period in 2024.

Operational Metrics

• Gross Profit: $22.0 million for Q3 2025, up from $16.3 million in Q3 2024. For the nine months ended September 30, 2025, gross profit was $66.5 million, up from $52.2 million in the same period in 2024.
• Gross Margin: 66.1% for Q3 2025, up from 58.4% in Q3 2024. For the nine months ended September 30, 2025, gross margin was 65.5%, up from 60.9% in the same period in 2024.
• Net Income (Loss): $1.3 million for Q3 2025, compared to -$5.0 million in Q3 2024. For the nine months ended September 30, 2025, net income was $4.9 million, compared to -$13.3 million in the same period in 2024.
• Operating Expenses: $19.5 million for Q3 2025, down from $20.1 million in Q3 2024. For the nine months ended September 30, 2025, operating expenses were $58.3 million, down from $62.4 million in the same period in 2024.
• Interest Expense: $0.9 million for Q3 2025, down from $1.2 million in Q3 2024. For the nine months ended September 30, 2025, interest expense was $3.0 million, down from $3.0 million in the same period in 2024.

Cash Flow

• Net Cash Provided by Operating Activities: $7.2 million for the nine months ended September 30, 2025, compared to -$12.6 million in the same period in 2024.
• Net Cash Provided by Investing Activities: $3.2 million for the nine months ended September 30, 2025, compared to -$3.2 million in the same period in 2024.
• Net Cash Used in Financing Activities: -$6.0 million for the nine months ended September 30, 2025, compared to $16.9 million in the same period in 2024.

Unique Metrics

• Advances from Pending Sale of Coflex/CoFix Assets and International Hardware Business: $5.0 million as of September 30, 2025.

Future Outlook and Strategy

Core Business Focus

• Growth Initiatives: Focus on introducing new products, expanding distribution network, penetrating adjacent markets, and leveraging growth platform with technology and strategic acquisitions.
• New Product Launches: Recent launches include CollagenX™, OsteoFactor Pro™, and Trivium™.

Non-Core Business

• Pending Sale of Coflex/CoFix Assets and International Hardware Business: Expected to close in Q4 2025, subject to financing by the buyer. Total purchase price of $17.5 million for Coflex/CoFix assets and $1.7 million for Paradigm Spine GmbH.

Priority

• Revenue Growth: Emphasis on increasing revenue through new product introductions and expanding market reach.
• Operational Efficiency: Focus on reducing costs and improving gross margins through internal production and strategic initiatives.