RTI Surgical shares were lower 10% on Wednesday after the surgical implant company reported a breakeven Q2 result compared to a profit of $0.05 per diluted share a year ago, missing the $0.03 profit estimate from analysts polled by Capital IQ. Revenue in Q2 fell to $67.6 million from $71.6 million and was just ahead of the $66.4 million consensus.
RTI Surgical also said it is launching a comprehensive strategic review of the company’s business lines and operations to leverage its expertise, technology and products and identify additional opportunities to increase stockholder value. The company intends to engage a management consulting firm to assist with this review.
Looking ahead, the company said it now expects FY16 revenues at between $274 million to $280 million, as compared to prior guidance of $282 million to $290 million and below the $284.1 million consensus.
Also, the company now expects FY16 EPS of $0.03 to $0.06, as compared to prior guidance of $0.18 to $0.21, also well below the $0.19 consensus estimate.
