Alphatec Holdings, Inc. (NASDAQ:ATEC) Q1 2024 Earnings Call Transcript

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Patrick Miles: Yes. I’ll provide some opinions on the markets where I feel like we’re making great progress. I’ll probably refrain from describing what markets we expect to be next. Probably, the other call that you were on be listening in. I’m just kidding. The — probably — as I look at the very, very big markets, I look at like Chicago, more organic type of a growth profile. Some clear additions of people that have made significant differences in our run rate in, say, Chicago. New York and New Jersey have been a competitive hiring scenario that has been outstanding. That was a big block of guys that came over in full in the fourth quarter of last year. They’re starting to make progress, and they’re going to be well suited to make a great run for a long period of time in that market.

And so I would say the impact in the most immediate or apparent growth spaces of say New York and Chicago, two of the biggies, have been — as a inorganic in New York, more organic in Chicago. I would say organic in Los Angeles, starting to see Los Angeles start to demonstrate a very organic in Houston. In Houston, it’s the PTP capital of the world. The — but no, I think we’re just seeing that those people that have experience in this space, especially those that have experience in lateral have done exceedingly well. Phoenix is another market where we have really an exceptional team. And so where we have people who have bought into the thesis of the company and have engaged deeply into what we’re trying to build, we are making significant progress.

And I think it’s reflective in the top line growth number.

Young Li: I also think it’s reflective in kind of the statistics underneath where we continue to see surge in growth, but consistent increased surgeon adoption. And I think that reflects the broadening adoption of our core lateral franchise, PTP, think about how you can apply that to more and more complex pathologies over time as you adopt that. And then you think about the halo effect. And ultimately, the impact that, that has on our ability to just not only dive deeper in a geographical area by adding more surgeons but to dive deeper within a surgeon’s practice.

Patrick Miles: Yes. One last point is we have a PTP meeting coming up with more than 50 surgeons in attendance. It’s oversubscribed. And it just makes me think back about several years ago when we started to talk about this and completely got dismissed by the rest of the marketplace only to be right. And it’s — I would tell you that what makes this thing fun is a group of people that have been around spine surgery for years and ultimately are applying their experiences in ways that ultimately create progress. And so we’re living in a good time in this business and just can’t be more excited about the opportunities forward.

Young Li: Allright. Thank you very much. Appreciate the details.

Patrick Miles: Well, I would just say thanks for your interest in ATEC. We are just getting started and it inches the tagline. So anyway, thanks so much for your interest.

Operator: Ladies and gentlemen, this concludes today’s conference call. You may now disconnect.

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