SeaSpine Warns Surgical Revenue To Be Hit By COVID-19

SeaSpine Holdings Corp SPNE is the latest medical device maker warning that the SARS-CoV-2 Delta variant wave is hurting its business.
The Company filed an update for investors with the SEC, citing “ongoing uncertainty regarding the duration and severity of COVID-19 and/or staffing shortages on spine surgery procedure volumes throughout the U.S.”
“Throughout the third quarter of 2021, and most acutely starting in August, spine surgery procedure volumes were negatively impacted in many areas of the U.S., including in Florida and Texas, where SeaSpine derives a meaningful portion of its revenue, due to cancellations and/or postponements of procedures as a result of the increased cases and transmissibility of COVID-19 and because hospitals and other surgical centers were experiencing staffing shortages,” the Company said in the SEC disclosure.
SeaSpine now expects mid-single-digit revenue growth in Q3 of 2021 compared to Q3 of 2020 and revenue growth in the low-to-mid-teens compared to Q3 of 2019.
The Company was more optimistic at the beginning of August when it increased the bottom end of its full-year revenue guidance.
Related Content: SeaSpine Beats Street In Q2 On Higher Sales From Spinal Implants, Orthobiologics; Raises FY2021 Sales Outlook.
SeaSpine said it could not confirm its previously issued Q4 or FY21 guidance but plans to offer more updates when it releases Q3 results.
Price Action: SPNE stock closed at $16.34 on Friday.