Centinel Spine® Concludes Transformative Year with Record prodisc® Total Disc Replacement Revenue and Growth in December and Fourth Quarter 2023

• Record worldwide prodisc® Total Disc Replacement (TDR) revenue of approximately $7.6 million in December 2023, growing 66% over prior year and representing the first month in Company history with sales exceeding $7 million.
   
• Record worldwide prodisc Lumbar TDR revenue of $3.3 million in December 2023, growing 69% over prior year and representing the first month in Company history with U.S. prodisc Lumbar TDR sales exceeding $3 million in the U.S.
   
• Record worldwide fourth quarter 2023 prodisc TDR revenue exceeding $20 million in sales, representing growth of 56% over prior year.
   
• Worldwide prodisc Cervical TDR growth continues to be driven by the U.S. launch of the new prodisc C Vivo and prodisc C SK Cervical TDR system, growing over 70% in the fourth quarter vs. prior year.

WEST CHESTER, Pa., Jan. 18, 2024 /PRNewswire/ -- Centinel Spine®, LLC, ("the Company") a leading global medical device company focused exclusively on treating cervical and lumbar spinal disease with the most complete and clinically-proven total disc replacement (TDR) technology platform in the world (prodisc®), today announced achievement of record year-end 2023 business results and the foundation for accelerated growth in 2024.

Centinel Spine completed the divestment of its fusion business in Q4 2023, allowing the Company to exclusively focus on its rapidly expanding prodisc Cervical and Lumbar global TDR business and accomplishing its goal of being the number one worldwide TDR market leader. Total disc replacement remains one of the most rapidly expanding market segments across the orthopedic industry. The Company achieved record revenue and growth in the month of December and the fourth quarter 2023. Final full year 2023 financial results are subject to year-end closing procedures and will be disclosed in a forthcoming press release.

December 2023 Highlights

• Record worldwide prodisc TDR revenue of $7.6 million, representing 66% year-over-year (YOY) and 13% sequential growth.
• Record worldwide prodisc Cervical revenue of $4.3 million and prodisc Lumbar revenue of $3.3 million with YOY growth of 65% and 69%, respectively.
• Record U.S. prodisc TDR revenue of $6.5 million, representing 72% YOY growth and 19% sequential growth.
• International prodisc TDR revenue of $1.1 million, representing 38% YOY growth.

Fourth Quarter 2023 Highlights

• Record worldwide prodisc TDR revenue of $20.2 million, representing 56% YOY growth and 17% sequential growth.
• Record worldwide prodisc Cervical revenue of $12.2 million and prodisc Lumbar revenue of $8.0 million with YOY growth of 71% and 38%, respectively.
• Record U.S. prodisc TDR revenue of $16.6 million, representing 58% YOY growth and 20% sequential growth.
• International prodisc TDR revenue of $3.6 million, representing YOY growth of 48%.

Centinel Spine's record 2023 results were achieved through a rapidly expanding prodisc TDR surgeon and facility user base, continued U.S. adoption of the Company's new prodisc C Vivo and prodisc C SK Cervical TDR technology, and strong momentum behind its global prodisc Lumbar TDR business. New surgeon growth was driven by the Company's global Medical Education program that trained over 800 surgeons in 2023. This foundation—built upon a broad and loyal user base, technological innovation, a robust surgeon education program, and strong underlying TDR market-segment growth—is expected to significantly accelerate the Company's prodisc TDR growth in 2024.

Record prodisc Lumbar results in December and the fourth quarter 2023 were achieved through expanding procedural usage of prodisc Lumbar TDR, improving U.S. commercial payer coverage, and new prodisc Lumbar anatomic endplate technology. Major positive coverage updates in the fourth quarter 2023 in the states of Michigan, Illinois, Texas, Oklahoma, New Mexico, and North Carolina added over 20 million covered lives with access to one- and two-level lumbar TDR. Further, with this coverage expansion, it is estimated that over 30% of commercially-covered lives in the U.S now have access to two-level lumbar TDR, while coverage for one-level lumbar TDR has grown from 50% in 2017 to nearly 95% of covered lives.

Centinel Spine CEO Steve Murray adds, "2023 was more than just record financial results. It was a transformative year for the company and the foundation for significant market and prodisc technology growth through 2024 and beyond. Centinel Spine is now exclusively focused on total disc replacement and becoming the clear leader in one of the fastest growing segments in all of orthopedics. Not only does our prodisc technology have the longest demonstrated history of clinical success, prodisc is also the only total disc replacement technology that provides surgeons with the benefits of our innovative 'Match-the-Disc' family of cervical and lumbar anatomic discs. Patients are increasingly seeking treatment to maintain motion and potentially reduce future surgery, and we will not stop our work in ensuring the advancement of patient care."

About Centinel Spine, LLC

Centinel Spine®, LLC is a leading global medical device company exclusively focused on addressing cervical and lumbar spinal disease with prodisc®, the most complete total disc replacement (TDR) technology platform in the world.

The Company's prodisc technology is the most studied and clinically-proven TDR system across the globe, validated by over 540 published papers and more than 250,000 implantations. Centinel Spine's prodisc is the only TDR technology with multiple motion-preserving anatomic solutions allowing the surgeon to Match-the-Disc^™ to each patient's anatomy for both cervical and lumbar total disc replacement.

For more information, please visit the company's website at www.CentinelSpine.com or contact:

Varun Gandhi
Chief Financial Officer
900 Airport Road, Suite 3B
West Chester, PA 19380
Phone: 484-887-8871
Email: [email protected]

SOURCE Centinel Spine