ZimVie (ZIMV) Q4 2024 earnings summary

Executive summary

• Completed sale of spine business, transforming into a pure-play dental company focused on implants, biomaterials, and digital dentistry solutions, with substantial debt reduction and streamlined operations improving financial flexibility.

• Achieved $450 million in full-year revenue for 2024, with significant cost reductions, operational efficiencies, and improved Adjusted EBITDA margins by over 2 percentage points year-over-year.

• Generated over $21 million in Q4 operating cash flow and reduced net debt by over $290 million, enhancing cash position and financial flexibility.

• Focused on innovation with new launches in dental implants, biomaterials, and digital dentistry, driving adoption in underserved markets.

• Appointed a new VP of Americas Sales to drive commercial execution in the largest market.

Financial highlights

• Q4 2024 net sales: $111.5 million, down 1.4% year-over-year; full-year 2024 net sales: $449.7 million, down 1.6%.

• Q4 Adjusted EBITDA: $18.4 million (16.5% margin), up $4.5 million and 420 bps from prior year; full-year Adjusted EBITDA: $60.0 million (13.3% margin), up 18% and 220 bps.

• Q4 adjusted EPS: $0.27, up 170% from $0.10 in prior year; full-year adjusted EPS: $0.62, up 182% from $0.22.

• Net loss from continuing operations for FY2024 was $(33.8)M, improving by $22.2M from FY2023.

• Cash and cash equivalents at year-end were $75 million; net debt reduced to $145.5 million from $437.3 million year-over-year.

Outlook and guidance

• 2025 revenue guidance: $445–$460 million, representing -1% to +2% reported growth, flat to +3% constant currency.

• 2025 Adjusted EBITDA expected at $65–$70 million, up 8–17% year-over-year.

• 2025 adjusted EPS guidance: $0.80–$0.95, up 29–55% year-over-year.

• 2025 operating cash flow expected at $30–$40 million, more than double 2024.

• Q1 2025 net sales expected at $112–$114 million, with normalized growth of -2% to flat.