lowered its third-quarter revenue forecast, citing lower-than-expected orders for its spinal implants.
The Florida-based processor of orthopedic and cardiovascular implants said it expects to generate around $20 million in net revenue for the third quarter, down from previous guidance of $22 million to $24 million.
"The lower order volume is disappointing, especially since RTI has made great progress in tissue procurement and processing effectiveness in the past year," said Brian K. Hutchison, chairman, president and chief executive. "Due to this uncertainty, we are also withdrawing full-year guidance of revenues of $88 million to $92 million and net income of 25 cents to 27 cents per share.
"As a result of this change in expected distribution levels, RTI will have excess tissue inventories," Hutchison said. "We have already begun examining options for broadening distribution of our tissue. Our commitment to helping patients through safe, high-quality biological implants precludes us from keeping these much-needed allografts in inventory, when surgeon demand for these implants is so high."
The company will provide third-quarter results after the market closes on Oct. 20.