Mr. Browne continued, “Our recently announced agreements to sell certain non-core spinal implant and OUS businesses to Companion Spine represent another step toward the realization of our strategic vision for the company. Once completed, this transaction will allow us to significantly strengthen our balance sheet and further support the ongoing development of our broad pipeline of advanced biologics. I believe our tireless commitment to innovation and quality uniquely positions Xtant to address the needs of surgeons and patients alike while simultaneously creating enduring value for our shareholders.”

Sean Browne, President and CEO of Xtant Medical, stated, “We delivered strong financial and operating results during the second quarter, reflecting steps taken to enhance our focus on our core biologics business while also prudently managing expenses across the organization and driving operating leverage, consistent profitability, and cash flow. Notably, with the recent launch of our next-generation growth factor, OsteoFactor Pro™, we are now the only vertically integrated company to develop and manufacture solutions across all major orthobiologic categories.”

Announced definitive agreements to sell its non-core Coflex® and CoFix® spinal implants and all OUS businesses to Companion Spine for total proceeds of approximately $19.2 million

Raised FY25 revenue guidance to $131-$135 million, representing growth of 11%-15%, excluding the impact of the pending sale of certain assets to Companion Spine

Cash generated from operations of $1.2 million compared to cash used in operations of $5.1 million in the prior year quarter

BELGRADE, Mont., Aug. 12, 2025 /PRNewswire/ — Xtant Medical Holdings, Inc. (NYSE American: XTNT), a global medical technology company focused on surgical solutions for the treatment of spinal, orthopedic, and woundcare disorders, today reported financial and operating results for the second quarter ended June 30, 2025.

Story Continues

Second Quarter 2025 Financial Results

Revenue grew 18% to $35.4 million, compared to $29.9 million for the same quarter in 2024. The increase is due primarily to increased orthobiologics sales and licensing revenue.

Gross margin for the second quarter of 2025 was 68.6%, compared to 62.1% for the same period in 2024. The increase is primarily attributable to the impact of royalty revenue in the current year period, as well as lower product costs and greater scale.

Operating expenses for the second quarter of 2025 totaled $19.7 million, compared to $21.5 million for the second quarter of 2024. The reduction in operating expenses is primarily attributable to reduced compensation and commission expenses, which were partially offset by an increase in professional fees related to sales and marketing.

Net income totaled $3.6 million, or $0.02 per share on a fully diluted basis, compared to a net loss of $3.9 million, or $(0.03) per share, in the second quarter of 2024.

Non-GAAP adjusted EBITDA for the second quarter of 2025 totaled $6.9 million, compared to an Adjusted EBITDA loss of $569,000 for the same period in 2024. Beginning in the fourth quarter of 2024, phasing of the bargain purchase gain on sell through of inventory acquired as part of the purchase of Surgalign Holdings’ hardware and biologics business is no longer included in acquisition-related fair value adjustments in the non-GAAP adjusted EBITDA calculation and prior period calculations as presented herein have been recast to conform to the current presentation and calculation.

The Company defines adjusted EBITDA as net income/loss from operations before depreciation, amortization and interest expense and provision for income tax/benefit, and as further adjusted to add back in or exclude, as applicable, separation-related expenses, non-cash compensation, disposition/acquisition-related expense, acquisition-related fair value adjustments and unrealized foreign currency translation gain or loss. A calculation and reconciliation of adjusted EBITDA to net loss can be found in the attached financial tables.

As of June 30, 2025, the Company had $7.0 million of cash and cash equivalents compared to $6.2 million as of December 31, 2024.

2025 Financial Guidance

Xtant is raising its full-year 2025 revenue guidance to a range of $131 million to $135 million, which represents approximately 11% to 15% growth over the Company’s 2024 revenue. This compares to its prior revenue guidance of $127 million to $131 million. Xtant intends to update its outlook following the completion of the sale of its non-core Coflex® and CoFix® spinal implants and all OUS businesses to Companion Spine.

Conference Call

Xtant Medical will host a webcast and conference call to discuss its second quarter 2025 financial and operating results at 8:30 am ET today, August 12, 2025.

To access the webcast, visit Webcast Link: https://www.webcaster4.com/Webcast/Page/3039/52698

To access the conference call, dial 877-545-0523 (US) or 973-528-0016 (International) and reference Participant Access Code 482755.

A replay of the call will be available on the Investor section of the Company’s website at www.xtantmedical.com.

About Xtant Medical Holdings, Inc.

Xtant Medical’s mission of honoring the gift of donation so that our patients can live as full and complete a life as possible, is the driving force behind our company. Xtant Medical Holdings, Inc. (www.xtantmedical.com) is a global medical technology company focused on the design, development, and commercialization of a comprehensive portfolio of orthobiologics serving the chronic and surgical wound care and sports medicine markets, as well as spinal implant systems. Xtant people are dedicated and talented, operating with the highest integrity to serve our customers.

The symbols ™ and ® denote trademarks and registered trademarks of Xtant Medical Holdings, Inc. or its affiliates, registered as indicated in the United States, and in other countries. All other trademarks and trade names referred to in this release are the property of their respective owners.

Non-GAAP Financial Measures

To supplement the Company’s consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses certain non-GAAP financial measures in this release, including adjusted EBITDA. Reconciliations of the non-GAAP financial measures used in this release to the most comparable GAAP measures for the respective periods can be found in tables later in this release. The Company’s management believes that the presentation of these measures provides useful information to investors. These measures may assist investors in evaluating the Company’s operations, period over period. Management uses the non-GAAP measures in this release internally for evaluation of the performance of the business, including the allocation of resources. Investors should consider non-GAAP financial measures only as a supplement to, not as a substitute for or as superior to, measures of financial performance prepared in accordance with GAAP.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as “intends,” ”expects,” ”anticipates,” ”plans,” ”believes,” ”estimates,” “continue,” “future,” ”will,” “potential,” “going forward,” “guidance,” similar expressions or the negative thereof, and the use of future dates. Forward-looking statements in this release include the Company’s full year 2025 revenue guidance and the anticipated closing of the sale of the Company’s Coflex® and CoFix® spinal implants and all OUS businesses to Companion Spine and proceeds therefrom. The Company cautions that its forward-looking statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, among others: the possibility that the sale of the Company’s Coflex and CoFix products and international business are not completed or, if completed, that the anticipated benefits of the transactions are not realized when expected or at all; the possibility that the transactions may be more expensive to complete than anticipated; diversion of management’s attention from ongoing business operations and opportunities; the occurrence of any event, change or other circumstances that could give rise to the right of the parties to terminate either or both transactions; exposure to potential litigation and adverse tax consequences; the Company’s future operating results and financial performance; its ability to increase or maintain revenue; the Company’s ability to become operationally self-sustaining and less reliant on third-party manufacturers and suppliers; risks associated with its acquisitions and the integration of those businesses; anticipated shortages of stem cells which will adversely affect future revenues; the ability to implement successfully its future growth initiatives and risks associated therewith; possible future impairment charges to long-lived assets and goodwill and write-downs of excess inventory; the ability to remain competitive; the ability to innovate, develop and introduce new products and the success of those products; the ability to engage and retain new and existing independent distributors and agents and qualified personnel and the Company’s dependence on key independent agents for a significant portion of its revenue; the effect of labor and hospital staffing shortages on the Company’s business, operating results and financial condition, especially when they affect key markets; the effect of inflation, increased interest rates and other recessionary factors and supply chain disruptions; the effect of product sales mix changes on the Company’s financial results; government and third-party coverage and reimbursement for Company products; the ability to obtain and maintain regulatory approvals and comply with government regulations; the effect of product liability claims and other litigation to which the Company may be subject; the effect of product recalls and defects; the ability to license certain of the Company’s intellectual property on commercially reasonable terms and to maintain any such licenses; the ability to obtain and protect Company intellectual property and proprietary rights and operate without infringing the rights of others; risks associated with the Company’s clinical trials; international risks; the ability to service Company debt, comply with its debt covenants and access additional indebtedness; the ability to maintain sufficient liquidity to fund its operations and obtain financing on favorable terms or at all; and other factors. Additional risk factors are contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 filed with the Securities and Exchange Commission (SEC) on March 6, 2025 and subsequent SEC reports, including its Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2025 to be filed with the SEC on August 12, 2025. Investors are encouraged to read the Company’s filings with the SEC, available at www.sec.gov, for a discussion of these and other risks and uncertainties. The Company undertakes no obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as required by law. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by this cautionary statement.

— Tables Follow –

XTANT MEDICAL HOLDINGS, INC.

Condensed Consolidated Balance Sheets

(In thousands, except number of shares and par value)

As of

June 30,

2025 As of December

31, 2024

ASSETS

Current Assets:

Cash and cash equivalents

$ 6,923

$ 6,199 Restricted cash

114

22 Trade accounts receivable, net of allowance for credit losses and doubtful accounts of $1,795

and $1,437, respectively 26,951

20,660 Inventories

40,135

38,634 Prepaid and other current assets

1,466

1,601 Total current assets

75,589

67,116

Property and equipment, net

10,447

10,131 Right-of-use asset, net

2,634

829 Goodwill

7,302

7,302 Intangible assets, net

7,492

8,356 Other assets

15

103 Total Assets

$ 103,479

$ 93,837

LIABILITIES & STOCKHOLDERS’ EQUITY

Current Liabilities:

Accounts payable

$ 7,223

$ 7,918 Accrued liabilities

10,626

7,771 Current portion of lease liability

693

703 Current portion of finance lease obligations

52

69 Line of credit

12,006

12,120 Total current liabilities

30,600

28,581 Long-term Liabilities:

Lease liability, less current portion

2,015

166 Financing lease obligations, less current portion

30

47 Long-term debt, plus premium and less issuance costs

22,278

22,038 Other liabilities

54

42 Total Liabilities

54,977

50,874

Stockholders’ Equity

Preferred stock, $0.000001 par value; 10,000,000 shares authorized; no shares issued and

outstanding –

– Common stock, $0.000001 par value; 300,000,000 shares authorized; 139,315,722 shares

issued and outstanding as of June 30, 2025 and 139,045,664 shares issued and outstanding as

of December 31, 2024 –

– Additional paid-in capital

304,201

302,738 Accumulated other comprehensive income (loss)

152

(316) Accumulated deficit

(255,851)

(259,459) Total Stockholders’ Equity

48,502

42,963

Total Liabilities & Stockholders’ Equity

$ 103,479

$ 93,837

XTANT MEDICAL HOLDINGS, INC.

Condensed Consolidated Statements of Operations

(Unaudited, in thousands, except number of shares and per share amounts)

Three Months Ended

June 30, Six Months Ended

June 30,

2025

2024

2025

2024

Revenue

Product revenue

$30,436

$29,943

$59,720

$57,816

License revenue

4,975

–

8,595

–

Total Revenue

35,411

29,943

68,315

57,816

Cost of Sales

11,127

11,361

23,788

21,932

Gross Profit

24,284

18,582

44,527

35,884

Gross Profit %

68.6 %

62.1 %

65.2 %

62.1 %

Operating Expenses

General and administrative

7,478

7,713

15,011

15,498

Sales and marketing

11,616

13,179

22,820

25,639

Research and development

566

636

1,009

1,163

Total Operating Expenses

19,660

21,528

38,840

42,300

Income (Loss) from Operations

4,624

(2,946)

5,687

(6,416)

Other Expense

Interest expense

(1,004)

(992)

(2,049)

(1,827)

Unrealized foreign currency translation gain

178

118

202

79

Other income (expense)

7

(5)

(2)

7

Total Other Expense

(819)

(879)

(1,849)

(1,741)

Net Income (Loss) from Operations Before Provision for Income Taxes 3,805

(3,825)

3,838

(8,157)

Provision for Income Taxes

Current and Deferred

(255)

(36)

(230)

(104)

Net Income (Loss)

$3,550

$(3,861)

$3,608

$(8,261)

Net Income (Loss) Per Share:

Basic

$ 0.03

$ (0.03)

$ 0.03

$ (0.06)

Dilutive

$ 0.02

$ (0.03)

$ 0.02

$ (0.06)

Shares used in the computation:

Basic

139,310,589

130,269,710

139,190,378

130,291,796

Dilutive

148,574,242

130,269,710

148,339,423

130,291,796

XTANT MEDICAL HOLDINGS, INC.

Condensed Consolidated Statements of Cash Flows

(Unaudited, in thousands)

Six Months Ended

June 30,

2025

2024 Operating activities:

Net income (loss)

$ 3,608

$(8,261) Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:

Depreciation and amortization

2,243

2,003 Gain on sale of fixed assets

(49)

(142) Non-cash interest

289

218 Stock-based compensation

1,524

2,138 Provision for reserve on accounts receivable

395

178 Provision for excess and obsolete inventory

490

388 Other

46

1 Changes in operating assets and liabilities:

Accounts receivable

(6,873)

(688) Inventories

(1,349)

(4,130) Prepaid and other assets

347

(469) Accounts payable

(880)

(15) Accrued liabilities

2,763

(2,064) Net cash provided by (used in) operating activities

2,554

(10,843) Investing activities:

Purchases of property and equipment

(1,557)

(1,337) Proceeds from sale of fixed assets

97

183 Net cash used in investing activities

(1,460)

(1,154) Financing activities:

Payments on financing leases

(34)

(32) Borrowings on line of credit

51,812

59,565 Repayments on line of credit

(51,925)

(52,288) Proceeds from issuance of long term debt

–

5,000 Debt issuance costs

(49)

(615) Payment of taxes from withholding of common stock on settlement of restricted stock units

(61)

(17) Net cash (used in) provided by financing activities

(257)

11,613

Effect of exchange rate changes on cash and cash equivalents and

restricted cash

(21)

(61) Net change in cash and cash equivalents and restricted cash

816

(445) Cash and cash equivalents and restricted cash at beginning of year

6,221

5,923 Cash and cash equivalents and restricted cash at end of year

$ 7,037

$ 5,478

Reconciliation of cash and cash equivalents and restricted cash

reported in the consolidated balance sheets

Cash and cash equivalents

6,923

5,379 Restricted cash

114

99 Total cash and restricted cash reported in the consolidated balance

sheets

$ 7,037

$ 5,478

XTANT MEDICAL HOLDINGS, INC.

CALCULATION OF NON-GAAP CONSOLIDATED EBITDA AND ADJUSTED EBITDA

(in thousands)

Three Months Ended June 30,

Six Months Ended June 30,

2025 2024

2025 2024

Net Income (Loss)

$ 3,550 $ (3,861)

$ 3,608 $(8,261)

Depreciation and amortization

1,169 998

2,243 2,003 Interest expense

1,004 992

2,049 1,827 Tax (benefit) expense

255 36

230 104 Non-GAAP EBITDA

5,978 (1,835)

8,130 (4,327)

Non-GAAP EBITDA/Total revenue

16.9 % -6.1 %

11.9 % -7.5 %

NON-GAAP ADJUSTED EBITDA CALCULATION

Separation related expenses

(17) –

23 – Non-cash compensation

766 1,228

1,524 2,138 Divestiture/acquisition-related expense

295 –

295 338 Acquisition-related fair value adjustments (1)

60 129

171 384 Unrealized foreign currency translation (gain) loss

(178) (118)

(202) (79) Non-GAAP Adjusted EBITDA

$ 6,904 $ (596)

$ 9,941 $(1,546)

Non-GAAP Adjusted EBITDA/Total revenue

22.7 % -2.0 %

16.6 % -2.7 %

(1) Beginning in the fourth quarter of 2024, phasing of the bargain purchase gain on sell through of inventory acquired as part of the purchase of Surgalign Holdings’ hardware and biologics business is no longer included in acquisition-related fair value adjustments in the non-GAAP adjusted EBITDA calculation and prior period calculations as presented herein have been recast to conform to the current presentation and calculation. The related effect on adjusted EBITDA was a reduction of $1.1 million and $2.1 million for the three and six months ended June 30, 2024 to arrive at recast amounts.

Cision

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SOURCE Xtant Medical Holdings, Inc.