OrthoPediatrics (KIDS) Stifel 2024 Healthcare Conference summary

Market and stock performance

• Recent stock weakness attributed to a fund liquidating its position, not company fundamentals.

• Business performance has exceeded expectations, with robust results across segments.

Scoliosis and product innovation

• International scoliosis sales grew over 100% year-over-year, with scheduling trends returning to pre-pandemic levels.

• Share gains are being realized as procedure volumes normalize and new customers increase.

• The RESPONSE system's next generation is expected to launch in the second half of 2025, supporting continued growth.

7D navigation and technology adoption

• 7D is an intraoperative navigation system reducing radiation exposure for pediatric spine surgery.

• About 20 units are deployed in children's hospitals, with demand expected to rise as navigation becomes standard.

• Larger hospitals may require multiple units, typically consigned under multi-year contracts to drive share gains.