WILL THIS “FIX” ORTHOFIX? (Orthopedics This Week)
On July 29, 2013, Orthofix International N.V. announced it was postponing the release of its financial results for the second quarter.
The announcement stated the Audit Committee of the company’s Board of Directors needed more time to review “matters relating to revenue recognition for prior periods.” The Audit Committee could not predict the length of time or outcome of the review.
“Challenging Circumstances”
The company has experienced significant events over the last couple of years. Company’s President and CEO, (and former CFO) Bob Vaters resigned abruptly on March 13, 2013. At the time of the resignation Vaters said, “I am very pleased with the tremendous progress we have made navigating some challenging circumstances over the last several years.”
One Wall Street analyst told us that it’s never a good thing when a company postpones a quarterly report. It’s one thing to delay because they couldn’t get the numbers done on time, but it’s more concerning to investors when the delay was caused by having to review previous revenue reports. The company’s stock fell around 20% on the news.
Spine Stim Impact
Jefferies senior analyst Raj...
