Integra LifeScience made changes to the orthopedics and tissue technology business leadership and structure.
The company hopes the division restructure will promote more efficient resource use, better investment in new products and growth initiatives. The company still plans to build new business channels and launch new products.
CFO Glenn Coleman also said the company is "exploring strategic alternatives for its spine business," according to a Healthpoint Capital report. The spine unit would need significant investment to compete with big players in the market — an investment the company isn't keen to make.
In the second quarter of 2013, Integra reported $231.4 million in total revenue, a 12.6 percent increase over the same period last year. The United States neurosurgery business grew 45 percent, reaching $60.5 million, but the spine and other business only grew 4 percent to $45 million in the United States.
In a conference call, CEO Peter Arduini said the company prefers to focus on "organically running the business" instead of acquiring other companies, as some of the orthopedic and spine industry giants have done over the past few months.
Additionally in the second quarter, the upper extremities sale were successful, but lower extremities hardware sales were disappointing for the quarter. "We believe we lost some share in this area partially as a consequence of sale turnover which is being addressed and new product pipeline conversions specifically in our new total foot system, which we launched in the later part of the second quarter, mainly in the second quarter," said Mr. Arduini in a Seeking Alpha report.
The company will continue to focus on their sales force and surgeons. Integra LifeSciences recently added local regional mobile labs, onsite education and digital online training. They are also creating a "key opinion leaders" team to leverage their surgeon education program.
More articles for orthopedic devices:
15 spine devices receive FDA 510(k) clearance
Zacks: Pay attention to these 3 medical device stocks
8 things to know about the Asia-Pacific minimally invasive spine device market