Wright Medical Group N.V. (WMGI) saw its loss widen to $110.14 million, or $1.07 a share for the quarter ended Sep. 25, 2016. In the previous year period, the company reported a loss of $98.86 million, or $1.87 a share.
Revenue during the quarter surged 96.32 percent to $157.33 million from $80.14 million in the previous year period. Gross margin for the quarter contracted 57 basis points over the previous year period to 70.67 percent. Operating margin for the quarter stood at negative 24.54 percent as compared to a negative 51.21 percent for the previous year period.
Operating loss for the quarter was $38.60 million, compared with an operating loss of $41.04 million in the previous year period.
Robert Palmisano, president and chief executive officer, commented, "As anticipated, our third quarter results were impacted by revenue dis-synergies; however, the underlying drivers of growth in our business remain strong as we continued to see excellent growth from new products, in particular our SIMPLICITI and AEQUALIS ASCEND FLEX shoulder systems, our INFINITY total ankle replacement system and the ongoing commercial activities for AUGMENT Bone Graft and the SALVATION limb salvage system. Global extremities and biologics pro forma constant currency net sales growth of 9%, adjusted EBITDA from continuing operations of $5.7 million and adjusted gross margins from continuing operations of 78.2% reflect the strength of our markets and our unique position in them."
For financial year 2016, Wright Medical Group N.V. projects revenue to be in the range of $677 million to $683 million. The company forecasts diluted loss per share to be in the range of $0.52 to $0.47 on adjusted basis.
Working capital increases sharplyWright Medical Group N.V. has recorded an increase in the working capital over the last year. It stood at $308.10 million as at Sep. 25, 2016, up 156.16 percent or $187.82 million from $120.28 million on Sep. 30, 2015. Current ratio was at 1.71 as on Sep. 25, 2016, down from 2.45 on Sep. 30, 2015. Debt increases substantiallyWright Medical Group N.V. has witnessed an increase in total debt over the last one year. It stood at $773.45 million as on Sep. 25, 2016, up 798.02 percent or $687.32 million from $86.13 million on Sep. 30, 2015. Total debt was 33.39 percent of total assets as on Sep. 25, 2016, compared with 13.77 percent on Sep. 30, 2015. Debt to equity ratio was at 1.04 as on Sep. 25, 2016, up from 0.20 as on Sep. 30, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
