Orthopediatrics Corp. · NASDAQ:KIDS
Orthopediatrics — Q2 2025 Earnings Presentation
38 slides from Orthopediatrics's earnings presentation, Aug 5, 2025
Slide 1: Investor Presentation
2025 Investor Presentation www.OrthoPediatrics.com
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements All statements, other than statements of historical facts, contained in this quarterly report, including statements regarding our business, operations and financial performance and condition, as well as our plans, objectives and expectations for our business, op
Slide 3: OrthoPediatrics was founded on the cause of impacting children's lives
OrthoPediatrics was founded on the cause of impacting the lives of children with orthopedic conditions + 1,217,000 pediatric patients treated since inception1 2025 // 3 1 Includes patients treated by MD Orthopaedics (MDO), Pega Medical (Pega), and Boston Orthotics & Prosthetics (Boston O&P) since in
Slide 4: Historical Challenges of Pediatric Orthopedics
Historical Challenges of Pediatric Orthopedics Re-Purposed Adult Plate Screws through growth plate 01 Children’s unique clinical conditions 02 Existing solutions are re-purposed from adult implants 03 Limited development of new technologies 04 No specialized sales force in Pediatric Orthopedics 05 L
Slide 5: OrthoPediatrics Solution
OrthoPediatrics Solution PediLoc Femur Screws parallel to growth plate 01 Product development focused exclusively on pediatric patients 02 Broadest pediatric specific portfolio in the industry 03 Delivering first in market novel surgical solutions 04 Only global commercial channel to market 05 Leadi
Slide 6: U.S. Addressable Market — $2.8B
Total Global Addressable Market – $6.2B U.S. Addressable Market1 — $2.8B Competitive Dynamics $500 Enabling $610M Large incumbents repurpose adult implants Technology 01 Trauma & Deformity Correction 02 Require specialized sales force Implants $165M 03 Lack of focus on pediatric conditions Growing I
Slide 7: Consistent YoY Growth
Only Focused Pediatric Orthopedic Company +80 unique pediatric systems Innovative Consistent cadence of innovative product launches Technology Expanding suite of enabling technologies Internal R&D, acquisitions, and partnerships Only global sales & distribution channel Consistent Commercial Serve 10
Slide 8: Strategic Pillars
Strategic Pillars Laser focus on high-volume Children’s Hospitals that treat majority of 01 pediatric patients 02 Provide a broad product portfolio uniquely designed to treat children, surround pediatric orthopedic surgeons covering their needs 03 Deploy instrument sets and provide unparalleled sale
Slide 9: Current U.S. Target Market — $1.6B
01 Focus on High-Vol Children’s Hospitals Current US Target Market – $1.6B Current U.S. Target Market1 — $1.6B $300M Enabling Tech $455M Trauma, Deformity Correction & Sports Medicine Implants Comments 01 ~1,520 Fellowship Trained Pediatric Surgeons $500M 02 Majority of Pediatric Centers are Teachin
Slide 10: Broad Product Portfolio
02 Broad Product Portfolio Pre-IPO Transitioned from Early Entry to Clinically Significant PediPlate Response BandLoc Clavicle Cannulated Physeal PediNail Hip Systems ACL 5.5/6.0mm 5.5/6.0mm Plating Screws Tethering System LCB / LPF System Fusion System Banding System 2008 2009 2012 2013 2014 2015 2
Slide 11: Accelerating Sales Growth Post-IPO (+24% CAGR)
03 Expand Instr. Sets & Sales Personnel Accelerating Sales Growth Post-IPO Through Strategic Investment and Innovation Total Revenue ($M) +24% CAGR $204.7 2016 2024 CAGR U.S. Independent Sales Consultants 90 230 12% Instrument Set Deployments $7M $21M 15% $148.7 Unique Pediatric Systems 17 77 21% $1
Slide 12: Expand Market with R&D
04 Expand Market with R&D Post-IPO moved from Clinically Significant to Disruptive 3P Hip Levity Device For Gait MDO DF2 Move Brace Brace F3 Hero RESPONSE 7D MD Ortho Pediatric AFO Rib & Pelvic Fixation PNP Orthex Intraoperative PonsetiTM System Pediatric External Navigation Specialty Drive Rail Nai
Slide 13: Strategic Acquisitions & Partnerships
04 Expand Market with M&A Strategic Acquisitions & Partnerships 2017 2019 2020 2021 2022 2023 2024 Partnership Acquisition 2025 // 13
Slide 14: Boston Orthotics & Prosthetics
04 Expand Market with M&A Acquired Innovative Technologies Boston Orthotics & Prosthetics State-of-the-Art Products - - That Better Each Patient’s Life • Pioneered the original patient-specific, custom Boston Scoliosis Brace • Currently has 5 disease state focuses with 17 different product offerings
Slide 15: U.S. Specialty Bracing Market — $0.5B
04 Expand Market with M&A Current Global Target Market – $1.1B U.S. Specialty Bracing Market 1 — $0.5B $175M $200M Scoliosis Speciality Lower Limb Bracing Extremity 300 Specialty Bracing U.S. Pediatric Centers Comments 01 ~80% of Pediatric Surgeons Time is Non-Surgical 02 Same Surgeons Who Use OP Su
Slide 16: U.S. Potential Target Market — $1.0B
04 Expand Market with M&A Potential Global Target Market – $2.2B U.S. Potential Target Market 1 — $1.0B Levity Device for Gait Assist Motion Spine Assist Halo Devices Traction, Other Specialty 300 Solutions U.S. Pediatric Centers Dynamic Femur Fracture (DF2) Brace Specialty Fracture Casting Fixation
Slide 17: PLAYBOOK Workflow & Care Optimization for the OR
04 Expand Market with M&A Acquired Innovative Technologies PLAYBOOK Workflow & Care Optimization for the OR Better care requires improved planning, communication & support to deliver reproducible outcomes DYNAMIC PRE-OP INTERACTIVE LIVE PLANNING SURGERY VIEW for remote offers coordination and suppor
Slide 18: Acquired Innovative Technologies
04 Expand Market with M&A Acquired Innovative Technologies Orthex • Disruptive software complements ex-fix Acquired software-based and non-fusion frame technologies • Expands addressable market Significant sales synergies with legacy portfolio • Serve 85% of procedures, up from 65% • Significantly s
Slide 19: Enabling Technology Partnerships
04 Expand Market with M&A Enabling Technology Partnerships FIREFLY® Pedicle Screw FireFly 7D Surgical Navigation Guides S2/Alar Intraoperative Navigation Unique patient specific 3D printed bone models and drill guides, can be used with any Spinal Deformity Correction system. Eliminates Radiation exp
Slide 20: Train Next-Gen Surgeons
05 Train Next-Gen Surgeons Physician Education and Awareness As a surgeon educator, I have OP Hands-on sales training and support always appreciated and valued 01 OrthoPediatrics’ commitment to • Annually invests 3% of sales on clinical education education. • Conducts >300 product/training sessions
Slide 21: Catalysts & Pipeline
Catalysts & Pipeline • Expanding intramedullary nailing portfolio • Expanding of external fixation portfolio T&D • Expanding specialty bracing portfolio • Solutions for rare bone disease • Advancing non-fusion treatment • Early-onset scoliosis innovations Scoliosis • Innovation in highly-complex fus
Slide 22: New Growth from Current Gaps in Product Offering
New Growth from Current Gaps in Product Offering 3P | Hip 3P | Mini 3P | Tibia 3P | Femur 2.0 / 2.4 / 2.7 / 3.5 Screw System 2025 // 22
Slide 23: Building an EOS Platform
Building an EOS Platform Rib & Pelvic • Launched in January 2024 System • Focus on chest wall expansion to improve breathing capacity • Sets the stage for future growth-friendly implants • FDA approved April 2025 • Guided Growth VerteGlideTM • Allows for screws to “glide” along Verteglide smooth rod
Slide 24: OPSB Key Growth-Strategic Objectives
OPSB Key Growth-Strategic Objectives Aggressive market-based Accelerate R&D with Scale OPSB selling channel clinic expansion strategy increasing number of YoY and sales force – grow with launches current portfolio of products 18 new markets by 2027 Launch 4 products in 2024 Doubling size of the sale
Slide 25: OPSB Market Expansion
OPSB Market Expansion Pace of Market Expansion OPSB clinics +4 markets in 2025 expected to be in 27 +6 markets territories in 2027 in 2026 out of 80 +8 markets in 2027 target territories 2025 // 25
Slide 26: OPSB ROI and Timing for Clinic Expansion
OPSB ROI and Timing for Clinic Expansion Greenfield Acqui-Hire 1-4 Initial Investment $200k-$500k $500K-$1M Positive EBITDA by end Positive EBITDA by end of Clinics EBITDA Goal of first full year first full year per FCF Goal After first full year Within first year ROI Goal Break even ROI by Year 3 B
Slide 27: >80 Differentiated Pediatric Systems Driving Growth
>80 Differentiated Pediatric Systems Driving Growth Trauma & Deformity Scoliosis 2024 Revenue by Product Family Pediatric Systems Revenue Pediatric Systems Revenue 59 $145.1 15 $55.2 14 $26.8 3 $9.3 2016 2024 2016 2024 2016 2024 2016 2024 +20% CAGR +24% CAGR >3X Growth >5X Growth Trauma & Deformity
Slide 28: Strong History of Y/Y Growth ($M)
Strong History of Y/Y Growth ($M) 17% $239.5 38% $204.7 22% $148.7 25% $122.3 38% $98.0 26% -2% 26% $72.6 $71.1 22% $57.6 20% 31% $45.6 21% $37.3 22% $31.0 44% 58% $23.7 400% 137% $19.6 $7.1 $16.1 $10.2 $0.6 $3.0 1 2 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 202
Slide 29: Revenue By Category Summary
Category Revenue Summary $250 $4.4 $200 $55.2 Revenue ($ in Millions) $4.0 $150 $0.9 $3.8 $37.9 $0.9 $4.2 $18.5 $100 $33.4 $13.6 $1.7 $2.7 $28.0 $145.1 $1.2 $21.5 $20.7 $106.8 $50 $1.1 $1.2 $16.7 $85.1 $41.7 $1.1 $11.6 $37.9 $0.8 $9.4 $65.8 $7.4 $49.4 $47.7 $3.6 $39.7 $26.8 $32.8 $19.3 $22.5 $0 1 20
Slide 30: Revenue Seasonality
Revenue Seasonality Seasonality Drives Stronger Performance in Summer Months and Holiday Periods 31% 29% Revenue as % of Total Year 27% 27% 27% 27% 27% 27% 26% 25% 26% 26% 26% 25% 25% 23% 22% 21% 22% 22% 19% 19% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2020 2021 2022 2023 20
Slide 31: Income Statement Summary
Income Statement Summary ($ in Millions) FY2022 FY2023 FY2024 2Q 2024 2Q 2025 Revenue $122.3 $148.7 $204.7 $44.7 $61.1 Growth % 25% 22% 38% 33% 16% Gross profit $90.7 $111.3 $148.6 $40.8 $44.0 Margin % 74% 75% 73% 77% 72% Operating expenses $116.1 $138.0 $183.6 $46.5 $54.7 Operating loss ($25.4) ($2
Slide 32: Revenue By Geography and Product Category
Revenue By Geography and Product Category ($ in Millions) Three Months Ended June 30, Product Sales by geography 2024 2025 U.S. $41.2 $48.1 International 11.6 13.0 Total Revenue $52.8 $61.1 Three Months Ended June 30, Product Sales by category 2024 2025 Trauma and deformity $37.8 $41.7 Scoliosis 13.
Slide 33: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation ($ in Millions) Three Months Ended June 30, 2024 2025 Net loss ($6.0) ($7.1) Interest expense, net 0.3 1.1 Other income 0.1 (4.7) Income tax charge (benefit) (0.0) 0.0 Depreciation and amortization 4.8 5.2 Stock-based compensation 2.9 5.2 Restructuring charges - 3.0 Ta
Slide 34: Adjusted EPS Reconciliation
Adjusted EPS Reconciliation Three Months Ended June, 2024 2025 Loss per share, diluted (GAAP) ($0.26) ($0.30) Accretion of interest attributable to acquisition installment payable - - Restructuring charges 0.13 Tariff Cost - 0.03 Acquisition related costs 0.01 0.02 Minimum purchase commitment cost 0
Slide 35: Balance Sheet
Balance Sheet ($ in Millions) As of June 30, 2025 Assets Liabilities Cash, cash equivalents & short-term $72.2 Accounts payable $12.7 investments Account receivable 53.8 Debt 97.1 Inventory (net) 125.3 Accrued comp. & other liab. 37.4 Other current assets 6.4 Acquisition pay. & cont. consideration 0
Slide 36: Full Year 2025 Guidance
Full Year 2025 Guidance ($ in Millions) 2025 Guidance FY2025 Revenue $237.0 to $242.0 Adjusted EBITDA $15.0 to $17.0 Assumptions FY2025 2025 Total Revenue Growth % 16% to 18% Set Deployment ~$15.0 2025 // 36
Slide 37: Investment Summary
Investment Summary 01 Only diversified company focused exclusively on pediatric orthopedics 02 Large, underpenetrated market opportunity in pediatrics 03 Highly concentrated customer base with targeted commercial strategy 04 Broad product portfolio with innovative solutions 05 Only provider committe
Slide 38: 2850 Frontier Drive Warsaw, IN
2850 Frontier Drive Warsaw, IN 465852 ph: 574.268.6379 or 877.268.6339 fax: 574.268.6302 2025 // www.OrthoPediatrics.com