Globus Medical (GMED) CG 2025 Musculoskeletal Conference summary

Strategic initiatives and integration

• Completed merger with NuVasive in September 2023, combining innovative technologies and expanding reach to more surgeons domestically and internationally.

• Achieved $94 million in synergies in the first year post-merger, with a three-year target of $170 million.

• Year two integration focuses on insourcing manufacturing and international process alignment, with expected benefits in late 2025 and 2026.

• High sales force retention and competitive commission rates have attracted experienced talent from competitors.

Financial performance and guidance

• Reported 5% pro forma growth in 2024 despite sales headwinds from integration.

• 2025 guidance (excluding Nevro): $2.66–$2.69 billion revenue, $3.40–$3.50 non-GAAP EPS; including Nevro: $2.8–$2.9 billion revenue, $3.10–$3.40 non-GAAP EPS.

• Gross profit expected at 67.5%–68.5%, with R&D and CapEx investments at 6%–7% and 5%–6% of sales, respectively.

• Seasonality: Q4 is the strongest quarter, with Q1 typically accounting for 23%–23.5% of annual sales.

• Plans to pay off $450 million NuVasive debt imminently and continue investing in product development and strategic M&A.

Product pipeline and innovation

• Launched 18 new products globally in 2024, including DuraPro oscillating drill and EFlex knee robotic system.

• EFlex knee robot and DuraPro drill showcased at AAOS, along with Precice limb lengthening nail.

• NuVasive Reline pedicle screw system now FDA-cleared for navigation and integration with Excelsius robotic system.

• Focus on expanding enabling technologies and integrating new products for competitive differentiation.