NASDAQ$ZIMV

ZimVie Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

ZimVie's financial performance for Q1 2023 was reported, with a decrease in net sales and a net loss, but progress in product portfolio evolution and cost reduction initiatives was highlighted.

ZimVie reported a decrease in third-party net sales by 4.1% to $225.1 million for Q1 2023. The company experienced a net loss of $30.0 million, or ($1.14) per diluted share. Adjusted diluted EPS was $0.25. The company is implementing restructuring activities to reduce costs and streamline operations.

  • Third party net sales reached $225.1 million, a 4.1% decrease year-over-year.
  • Net loss was ($30.0) million, with a net loss margin of (13.3%).
  • Diluted EPS was ($1.14), while adjusted diluted EPS was $0.25.
  • Adjusted EBITDA was $32.1 million, with an adjusted EBITDA margin of 14.3%.

Headline financials

Total Revenue

$225M

No prior period
EPS (adj)

$0.25

No prior period
Adjusted EBITDA Margin

14.3%

No prior period
Net Income

-$30M

No prior period
Operating Income

-$16.1M

No prior period
Gross Profit

$154M

No prior period
Cash & Equivalents

$66.4M

No prior period
Total Assets

$1.59B

No prior period
Stock-Based Comp

$4.84M

No prior period

Revenue & EPS history

ZimVie · Revenue · Quarterly

$225M

Q1 2023
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Forward guidance

ZimVie is updating its 2023 net sales and adjusted EPS guidance while reaffirming its adjusted EBITDA margin guidance.

Tailwinds

  • Net sales are projected to be between $835 million and $860 million.
  • Adjusted EBITDA margin is expected to be between 13.5% and 14.0%.
  • Adjusted EPS is projected to be between $0.40 and $0.60.
  • Initiatives to improve operating margins and cash flow are underway.
  • Financial flexibility to continue to prioritize investments in product offerings and technologies.

Headwinds

  • Forward-looking non-GAAP financial measures may be materially different from corresponding GAAP measures.
  • Timing of certain transactions is difficult to predict due to potential changes in management plans.
  • Revenue was down 4.1% compared to the same period last year.
  • Net loss increased compared to the same period last year.
  • Global restructuring program with a 5% reduction in global workforce.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 6 quarterly earnings reports

Historical avg

-1.7%

Avg return

Earnings day

-3.4%

Avg return

5 days after

-5.3%

Avg return

30 days after

44%

8 / 18 earnings

Positive

+24.0%

Q1 2023

Best reaction

-49.0%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2025
Q2 2025-0.4%-0.1%+0.1%
Q1 2025-4.4%-4.8%+2.2%
Q4 2024-1.7%+3.1%-11.9%
Q3 2024+0.6%+5.5%+6.2%
Q2 2024-18.2%-19.0%-17.9%
Q1 2024+5.7%+4.8%+0.8%
Q4 2023-14.4%-13.4%-16.9%
Q3 2023+5.4%
Q2 2023-6.0%
Q1 2023+24.0%
Q4 2022-49.0%
Q3 2021+20.0%
Q3 2022+20.0%
Q2 2021-8.2%
Q2 2022-8.2%
Q1 2021-6.5%
Q4 2021+5.1%
Q4 2020+5.1%

Discussion

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