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K2M GROUP HOLDINGS, INC.

No Longer Reporting

The company has not filed an annual or quarterly report since its Q3 FY2018 10-Q, filed Nov 8, 2018. Its latest SEC filing is a SC 13G/A from Feb 14, 2019.

The sections below describe the company as of the FY2017 annual report.

What Did They Do?

Sells spinal implants, instruments and disposables to hospitals for surgeons treating complex, minimally invasive and degenerative spinal conditions.

How Did They Make Money?

Hospitals buy spinal implants, disposables and instruments for surgeries; the sale is counted when a delivered order confirms use in surgery or when advance purchases ship. In distributor markets, distributors buy surgical sets and implant replenishments, typically at shipment.

revenue

Who Were Their Customers?

In the United States and certain international markets, sales are managed directly to hospital customers through direct sales staff and independent sales agencies; in other international markets, distributors buy products and handle hospital billing and surgeon service.

Customers above 10% of revenue, FY2017
of revenue from one customer
FY2015: no customer at 10% or more of revenue

Did Revenues Turn Into Profits?

No. It lost $37.1M in .

Operating income,
−13% of revenue
▼ −4% (Loss) vs (−$34.7M, −15%)
Net income,
−14% of revenue
▼ −11% (Loss) vs (−$41.7M, −18%)

How Were They Changing?

Since the FY2017 annual report
Latest quarter: Q3 FY2018, the three months to Sep 30, 2018
Revenue
▲ +14%
vs $62.7M in Q3 FY2017
Net income
▲ +87% (Loss)
vs −$8.5M in Q3 FY2017
  • Nov 9, 2018 Stryker completed its acquisition Each eligible share converted into the right to receive $27.50 in cash.
  • Aug 30, 2018 Stryker agreed to acquire the company The agreement offered stockholders $27.50 in cash per share.

Grew. Revenue grew 64% in 4 years, from $157.6M in to $258M in , about 13% a year.

A broader surgical platform The older report centers on spine technologies and products, while the latest also presents Balance ACS as a platform of products, services and research to help surgeons achieve spinal balance.

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