Alphatec Holdings Reports Q1 2025 Financial Results

Alphatec Holdings, Inc., a company dedicated to revolutionizing spine surgery, has released its financial results for the first quarter of 2025. The report highlights significant growth in both surgical and total revenue, alongside an increase in full-year guidance.

Financial Highlights

For the quarter ended March 31, 2025, Alphatec Holdings reported:

• Total revenue of $169 million, a 22% increase from the same period in 2024.
• GAAP gross margin of 69% and non-GAAP gross margin of 70%.
• GAAP operating expenses of $160 million and non-GAAP operating expenses of $124 million.
• GAAP net loss of $52 million.
• Adjusted EBITDA of $11 million, with an adjusted EBITDA margin of 6%.
• Ending cash balance of $153 million.

Business and Operational Highlights

Key performance indicators for the quarter include:

• Surgical revenue of $152 million, driven by a 17% increase in procedural volume.
• 18% growth in new surgeon adoption, indicating potential future growth.
• Improved adjusted EBITDA margin by 840 basis points year-over-year through focused cost management.
• Improved free cash use by $55 million compared to Q1 2024.

Strategic Initiatives and Corporate Developments

Alphatec Holdings successfully refinanced its convertible debt to a 2030 maturity, providing greater financial stability and flexibility for future growth initiatives.

Management's Perspective

Pat Miles, Chairman and CEO, commented, "ATEC exists to revolutionize spine surgery, and our Q1 results show that our unique, end-to-end procedural ecosystem is continuing to drive rapid, durable growth. We are executing with discipline and delivering on our financial commitments, while continuing to invest in differentiated innovation. ATEC’s relentless, spine-only focus has made it the preferred destination. We are built to lead and our best is still yet to come."

Future Outlook

For the fiscal year ending December 31, 2025, Alphatec Holdings now expects total revenue to grow 20% to $734 million, compared to the previous expectation of $732 million. This includes surgical revenue of $658 million and EOS revenue of $76 million. The company also anticipates non-GAAP adjusted EBITDA of approximately $78 million, up from the previous expectation of $75 million.

SEC Filing: Alphatec Holdings, Inc. [ ATEC ] - 8-K - May. 01, 2025