IMPLANET Reports Consolidated Revenue of €5.8 Million at September 30, 2021 up 34%

Rhea-AI Summary

IMPLANET reported Q3 2021 revenue of €2.1 million, marking a 21% increase from Q3 2020. Spine activity surged by 49% to €1.8 million in Q3 and 61% to €4.3 million for the first nine months. However, knee surgery revenue fell by 39% in Q3 due to pandemic-related delays. CEO Ludovic Lastennet noted this growth momentum despite challenges in healthcare staffing. The company plans to divest its knee business to focus on spine surgery, aiming to solidify its position in the market and improve financial stability.

Positive

• Q3 2021 revenue increased by 21% to €2.1 million compared to Q3 2020.
• Spine activity grew by 49% in Q3 2021, reaching €1.8 million.
• Nine-month Spine revenue up 61% to €4.35 million compared to 2020.

Negative

• Knee surgery revenue dropped by 39% in Q3 2021 compared to Q3 2020 due to postponed surgeries.
• Revenue from the US fell by 36% in Q3 2021, impacted by delays from partner SeaSpine.

• Q3 2021 revenue up 21% (vs. Q3 2020) to €2.1 million
• Buoyant growth of 49% to €1.8 million in Spine activity in Q3 2021 (vs. Q3 2020)
  
  and +61% to €4.3 million over the first 9 months of 2021 (vs. the same period in 2020)

A webinar will be held at 6 pm CEST today, October 12, 2021:

https://us02web.zoom.us/webinar/register/WN_Oe6xOgujQbaeWbhPm-ISgw

BORDEAUX, France & BOSTON--(BUSINESS WIRE)-- Regulatory News:

IMPLANET (Euronext Growth: ALIMP, FR0013470168, eligible for PEA-PME equity savings plans) (Paris:ALIMP) a medical technology company specializing in vertebral and knee-surgery implants, today announces its revenue for the third quarter and first nine months of the year to September 30, 2021.

Ludovic Lastennet, IMPLANET’s CEO, said: “These third-quarter results confirm our sales’ growth momentum since the start of 2021, despite a health context and a shortage of hospital staff that are still hindering a return to normal levels of activity. While supporting this upturn by meeting surgeons’ expectations, we are continuing to refocus our business on Spine, initiated with the acquisition of OSD in May. The project we recently announced to divest our Knee business will allow IMPLANET to establish itself as a benchmark player in spine surgery, both in France and abroad, while consolidating its current financial situation. Thanks to these additional resources, we will intensify and accelerate our commercial development, enhance our range of vertebral implants and continue to expand our certifications and accreditations over the coming months”.

In € thousands - IFRS1	2021	2020	Change %
Total 1st quarter revenue	1,678	1,567	+7%
Total 2nd quarter revenue	2,040	1,028	+98%
3rd quarter
Spine	1,775	1,194	+49%
Knee	336	555	-39%
Total 3rd quarter revenue	2,112	1,749	+21%
9-month revenue
Spine	4,352	2,704	+61%
Knee	1,477	1,640	-10%
Total 9-month revenue	5,830	4,344	+34%

Third quarter of 2021

IMPLANET’s refocus on its Spine business and the integration of OSD since May 19, 2021 helped the Company generate Q3 Spine revenue growth of 49% compared with the same quarter of 2020.

In France, Spine activity doubled compared with the third quarter of 2020 (and the same quarter of 2019), with sales totaling €0.75 million. In the United States, the postponement of the quarterly order from the Company’s partner, SeaSpine, and of numerous surgeries addressed directly negatively impacted activity over the period, with revenue falling 36% compared with the third quarter of 2020, to €0.41 million. In the rest of the world, revenue was multiplied by almost 3.5 compared with the same period of 2020 (+235%) and by over 2.5 compared with 2019 (+160%), to €0.62 million.

MADISON^TM activity was down compared with the third quarter of 2020, at €0.34 million. This was primarily due to the public health situation and the postponement of this type of surgery because of human resources issues in healthcare facilities.

First nine months of 2021

In total, over the nine months to the end of September 2021, IMPLANET recorded revenue of €5.83 million², up 34% compared with the first 9 months of 2020 and +5% compared with the same period of 2019.

Thanks to the acquisition of OSD in the first half of 2021, Spine activity generated a buoyant 61% increase in revenue compared with 2020, to €4.35 million. This activity was also up 22% compared with 2019.

2021 highlights to date

• Agreement for the acquisition of OSD, which specializes in developing, manufacturing and marketing implants for spine surgery;
• Clearance for the MADISON^TM total knee prosthesis obtained from the TGA (Therapeutic Goods Administration) enabling the product to be marketed in Australia;
• Signing of a strategic partnership with ulrich medical® for the distribution of JAZZ® implants and the OSD cervical plate;
• Exclusive distribution contract with GLOBUS MEDICAL to market the latter’s Scoliosis Correction System to 15 French university centers specialized in pediatric spine surgery in order to increase our market share;
• Planned divestment of the MADISON^TM knee prosthesis business to refocus on becoming a benchmark player in Spine surgery.

A webinar will be held at 6 pm CEST today, October 12, 2021

The Company would like to inform its shareholders that a webinar will be held at 6 pm (Paris time) today.

During this web conference, Ludovic Lastennet, Chief Executive Officer, and David Dieumegard, Chief Financial Officer, will be at your disposal to discuss:

- the improvement in 2021 half-year results;
- the revenue for the third quarter of 2021;
- the planned divestment of the MADISON^TM knee prosthesis business;
- and the strategic axes of the development plan.

The webinar will be in French and will be followed by a Q&A session.
To follow this webinar, just log in via the following link:
https://us02web.zoom.us/webinar/register/WN_Oe6xOgujQbaeWbhPm-ISgw

Upcoming financial event:

- 2021 annual revenue, January 18, 2022 after market close*

* Date subject to modification

About IMPLANET

Founded in 2007, IMPLANET is a medical technology company that manufactures high-quality implants for orthopedic surgery. Its activity revolves around two product ranges, a comprehensive innovative solution for improving the treatment of spinal pathologies (JAZZ® and OSD), as well as the MADISON implant for first-line prosthetic knee surgery. Implanet’s tried-and-tested orthopedic platform is based on the traceability of its products. Protected by four families of international patents, JAZZ® has obtained 510(k) regulatory clearance from the Food and Drug Administration (FDA) in the United States, the CE mark in Europe and ANVISA approval in Brazil. IMPLANET employs 29 staff and recorded sales of €6.0 million in 2020. For further information, please visit www.implanet.com. Based near Bordeaux in France, IMPLANET opened a US subsidiary in Boston in 2013. In May 2021, IMPLANET acquired Orthopaedic & Spine Development (OSD), which specializes in developing, manufacturing and marketing implants for spine surgery and offers a product range that complements the latest generation JAZZ® implant (thoraco-lumbar screws, cages and cervical plates). IMPLANET is listed on the Euronext Growth market in Paris.

The Company would like to remind readers that the table for monitoring the equity line (OCA, BSA) and the number of shares outstanding is available on its website: http://www.implanet-invest.com/suivi-des-actions-80

¹ Unaudited data

² Since May 19, 2021, Spine activity includes revenue recorded by OSD, i.e. €1.17 million.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211012005793/en/

IMPLANET

Ludovic Lastennet, CEO

David Dieumegard, CFO

Tel.: +33 (0)5 57 99 55 55

investors@Implanet.com

NewCap

Investor Relations

Mathilde Bohin

Nicolas Fossiez

Tel.: +33 (0)1 44 71 94 94

implanet@newcap.eu

NewCap

Media Relations

Nicolas Merigeau

Tel.: +33 (0)1 44 71 94 94

implanet@newcap.eu

Source: IMPLANET

FAQ

What are IMPLANET's Q3 2021 revenue results?

IMPLANET reported a Q3 2021 revenue of €2.1 million, a 21% increase from Q3 2020.

How did the Spine segment perform in Q3 2021?

The Spine segment saw a 49% growth in Q3 2021, reaching €1.8 million compared to the same period in 2020.

What is the impact of the MADISON knee business on IMPLANET's revenue?

The MADISON knee business revenue fell by 39% in Q3 2021, significantly affecting overall performance.

When is the upcoming webinar by IMPLANET?

IMPLANET will hold a webinar at 6 PM CEST on October 12, 2021.

What is IMPLANET's strategy moving forward?

IMPLANET plans to divest its knee business to focus on becoming a leader in spine surgery.