RTI Surgical To Report Q3 Revenue Below Prior Guidance - Quick Facts

(RTTNews) - RTI Surgical Inc. (RTIX), a global surgical implant company, announced preliminary revenue results for the third quarter ended Sept. 30, 2013. The company expects to report total revenues of approximately $54.7 million, as compared to the company's prior guidance of $59 million to $61 million.

"Our revenues came in lower than projected due to several factors including uncertainties surrounding when the FDA would provide a close-out to the warning letter that we received in October 2012, a slower than expected ramp in our new direct surgical specialties business, lower than expected volumes in our spine business and lower than projected revenues in our international business due to shortages in tissue supply," said Brian Hutchison, president and CEO of RTI.

Analysts polled by Thomson Reuters expect the company to report third-quarter revenue of $57.42 million.

RTI also announced it has entered into a new agreement with Medtronic Sofamor Danek USA, Inc. to process allograft implants for use in spinal surgeries. The initial term of the agreement runs until Dec. 31, 2017 with two five year extensions available through 2027. The terms of the agreement are substantially equivalent to the previous agreement between the two companies, which was set to expire June 2014.