ORTHOPEDIATRICS CORP SEC 10-Q Report

OrthoPediatrics Corp, a leading company in the pediatric orthopedic industry, has released its Form 10-Q report for the second quarter of 2025. The report highlights the company's financial and operational performance, showcasing significant growth in revenue and strategic business initiatives aimed at expanding its market presence both domestically and internationally.

Financial Highlights

• Net Revenue: $61.1 million, increased by 16% from $52.8 million in the same period last year, driven by strong performance across global Trauma and Deformity, Scoliosis, and OP Specialty Bracing.
• Gross Profit: $44.0 million, reflecting a gross margin of 72%, down from 77% in the prior year period due to a higher percentage of sales of 7D units and international set sales.
• Operating Loss: $10.7 million, increased from $5.7 million in the prior year period, primarily due to increased sales commission expenses and restructuring costs.
• Net Loss: $7.1 million, compared to a net loss of $6.0 million in the prior year period, reflecting increased operating expenses and restructuring costs.
• Net Loss Per Share: $(0.30), compared to $(0.26) in the prior year period, reflecting the increased net loss.

Business Highlights

• Revenue Segments: The company reported strong performance across its product lines, with Trauma and Deformity sales increasing by 10% and Scoliosis sales rising by 35% for the three months ended June 30, 2025. Sports medicine/other sales saw a decrease of 33% during the same period.
• Geographical Performance: U.S. sales accounted for a significant portion of the revenue, with a 17% increase in the three months ended June 30, 2025. International sales also grew by 12% during the same period, indicating robust global demand.
• Sales Units: The increase in sales volume was primarily driven by strong growth in product lines such as Cannulated Screws, PNP Femur, PNP Tibia, DF2, and OPSB, contributing to the overall revenue growth.
• Future Outlook: The company anticipates continued expansion of its product portfolio and investment in consigned implant and instrument sets to support market expansion. The focus remains on strengthening its position in both U.S. and international markets.
• Operational Strategy: The company is committed to increasing investments in consigned implant and instrument sets, enhancing its global sales and distribution infrastructure, and expanding its product offerings and O&P clinic network.
• Social Impact: OrthoPediatrics emphasizes its commitment to social impact, having impacted the lives of 1,217,000 children. The company partners with over 40 charitable organizations and is recognized for its inclusive culture and community involvement.

SEC Filing: ORTHOPEDIATRICS CORP [ KIDS ] - 10-Q - Aug. 06, 2025