Carlsbad-based Alphatec in preliminary quarter three results reported revenue of $22.8 to $23.1 million, a decrease compared to revenue of $26.7 million in the third quarter of 2016.
Terry Rich, the spinal fusion products company’s CEO, in a news release attributed the drop to the recent hurricanes and fewer selling days in the quarter.
“In spite of the weather-related challenges, we successfully managed operating expenses and substantially decreased cash burn for a fourth consecutive quarter. As well, with the momentum we are experiencing in our sales channel, we expect to drive sequential revenue growth in the fourth quarter,” Rich said.
Total operating expenses decreased to a range of $15.7 million to $16.0 million, versus $17.1 million in quarter three of 2016. Cash burn improved to approximately $3.7 million, with a cash balance of roughly $15.4 million.
In addition, Alphatec last week announced the resignation of COO Mike Plunkett, who the company said is stepping down to pursue other interests. His resignation is effective Nov. 15 and it’s anticipated he’ll remain with Alphatec in a consulting capacity through the end of the year.
“Mike has contributed solidly to the commencement of the Alphatec transformation. We sincerely appreciate his years of service and leadership, and wish him the best in his future endeavors,” Rich said.