Xtant Medical Holdings, Inc. (XTNT) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

the business included in the sale generate annual revenue to extend of approximately $23.5 million. As previously mentioned, these products were modestly unprofitable on a standalone basis, so the effect of the sale on our margins and bottom line metrics is anticipated to be neutral to slightly positive in 2026 and beyond. In the meantime, until this transaction closes, we continue to support those products in the field, and we will benefit from the associated hardware revenue for an additional few months. So now, turning now to our third quarter, I'm pleased to report that we delivered strong financial and operating results. Scott will cover the financials and details in a moment, but I'd like to begin by touching on a few highlights. First, our total revenue for the quarter was $33.3 million, which represents a growth of more than 90% versus the third quarter of 2024. Notably, our third quarter 2025 revenue includes $5.5 million of licensing revenue pursuant to the license agreement for Q codes and the SimplyMax dual-layer amniotic membrane that we announced in the third quarter of last year. As we indicated in Q1, CMS has extended the local coverage determination for skin substitutes to December 31, 2025. Our biologics product family, which is our core business, grew 4% over the third quarter of last year This was below our long-term expectation for growth in the biologics product family. However, it's important to take a step back and recall that our focus over the past several quarters has been on prioritizing self-sustainability, particularly positive cash flows. As part of our long-term growth strategy, as a broader part of our long-term growth strategy, the strategic initiatives that we have implemented are sharpened focus on higher margin biologics, our emph...