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Aurora Spine Corp (TSE:ASG)
:ASG
Canadian Market
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Aurora Spine (ASG) AI Stock Analysis

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TSE:ASG

Aurora Spine

(ASG)

Rating:61Neutral
Price Target:
C$0.50
▲(42.86%Upside)
Aurora Spine's overall score is driven by positive corporate events, which highlight strategic growth initiatives and innovative product launches. However, financial performance challenges, such as profitability issues and high leverage, temper the overall outlook. Technical indicators suggest stability but lack strong momentum, while valuation metrics are hindered by negative earnings.

Aurora Spine (ASG) vs. iShares MSCI Canada ETF (EWC)

Aurora Spine Business Overview & Revenue Model

Company DescriptionAurora Spine Corporation, through its subsidiary, Aurora Spine, Inc., engages in the development and distribution of minimally invasive interspinous fusion systems and devices in Canada. The company offers interspinous process lumbar fusion devices, such as the ZIP, ZIP ULTRA, ZIP LP, and ZIP-51 for patients suffering from degenerative disc diseases; and Ti-Coated polyether ether ketone interbody cages, which provide spacing and stability between the vertebrae while bone grows to complete the fusion process. It also provides sterile-packed titanium plasma spray coated spinal infusion implants for bone growth, as well as interbody products, such as EOS, VOX, Echo, Echo SD, and EchoXL for the lumbar section of the spine, and discovery for cervical procedures. In addition, the company provides SOLO, an anterior lumbar interbody fusion 3D printed stand-alone fusion device, which is an integrated plate and spacer system that helps to preserve the natural anatomic profile while providing spinal column support and stability; and SiLo, a posterior fusion device for the sacroiliac joint. Further, it offers DEXA-C, a cervical interbody system, which is a porous 3D-printed intervertebral body fusion device that incorporates low-, mid-, or high-density lattice pattern options to support the matching of patients' bone quality. Aurora Spine Corporation was incorporated in 2013 and is headquartered in Toronto, Canada.
How the Company Makes MoneyAurora Spine makes money through the sale of its medical device products to hospitals, surgical centers, and healthcare providers. The company's revenue model relies on the direct sales of its spinal fusion devices, proprietary surgical tools, and pain management products. Additionally, Aurora Spine may engage in strategic partnerships with healthcare institutions and distributors to expand its market reach and enhance product distribution. The company invests in research and development to continuously innovate and meet the evolving needs of the spinal surgery market, thereby potentially increasing its revenue streams.

Aurora Spine Earnings Call Summary

Earnings Call Date:May 21, 2025
(Q4-2024)
|
% Change Since: 16.67%|
Next Earnings Date:Aug 20, 2025
Earnings Call Sentiment Neutral
The earnings call highlights significant revenue growth, product success, and gross margin improvements. However, these positives are tempered by increased operating expenses, a fourth-quarter EBITDAC decline, and a sustained net loss. While Aurora's product portfolio shows promise, financial challenges remain.
Q4-2024 Updates
Positive Updates
Revenue Growth
Aurora Spine reported a 21% increase in revenue for fiscal year 2024, reaching $17.56 million compared to $14.52 million in 2023.
SiLO-TFX System Success
The SiLO-TFX system experienced a 135% increase in revenues, attributed to higher adoption and increased training sessions.
ZIP Series Performance
ZIP-51 saw a 69% increase in sales during 2024, emphasizing the product's market acceptance.
Gross Margin Improvement
Gross margins improved to 60.5% for fiscal year 2024, up from 56.5% in 2023.
Launch of AERO Fusion System
Aurora launched the AERO Fusion system in March 2025, with initial surgeries anticipated in the latter half of 2025.
Positive EBITDAC
For the first time, Aurora Spine achieved a full year of positive EBITDAC, totaling $0.28 million for fiscal 2024.
Negative Updates
Increased Operating Expenses
Operating expenses increased to $11.438 million for fiscal year 2024, up from $9.89 million in 2023, due to higher training and staff costs.
Fourth Quarter EBITDAC Decline
EBITDAC for the fourth quarter of 2024 was negative $0.32 million, influenced by fair value accounting and increased operating expenses.
Net Loss
Net loss for the fourth quarter of 2024 was $0.653 million, with the fiscal year 2024 ending with a net loss of $1.003 million.
Company Guidance
During the Aurora Spine Fourth Quarter and Fiscal Year 2024 Results Conference Call, a comprehensive financial and operational overview was provided. The company reported a 21% increase in revenue for 2024, reaching $17.56 million compared to $14.52 million in 2023. Notably, the SiLO-TFX system saw a remarkable 135% increase in revenue, contributing significantly to this growth. The ZIP series, particularly ZIP-51, experienced a 69% increase in sales. Gross margins improved to 60.5% for the fiscal year, up from 56.5% in 2023, attributed to the focus on proprietary products and better pricing strategies. Operating expenses rose to $11.438 million, driven by increased sales personnel and training costs. EBITDAC for 2024 turned positive at $0.28 million, a significant improvement from a negative $0.31 million in 2023. Net loss for the year reduced to $1.003 million from $1.68 million in 2023. The company ended the quarter with $0.826 million in cash, and management expressed confidence in their capital structure to meet budgetary needs, focusing on profitability and continued growth with new product launches and clinical studies.

Aurora Spine Financial Statement Overview

Summary
Aurora Spine demonstrates revenue growth and good operational efficiency with a healthy gross profit margin of 59.62%. However, challenges in profitability, indicated by a negative net profit margin of -6.04% and high leverage with a debt-to-equity ratio of 0.89, highlight financial risks. The cash flow statement shows positive operating cash flow but negative free cash flow growth, indicating stress in covering capital expenditures.
Income Statement
64
Positive
Aurora Spine's revenue shows a positive growth trend with a decent revenue growth rate of 2.29% over the TTM (Trailing-Twelve-Months) compared to the previous year. However, the company faces challenges in profitability, with a negative net profit margin of -6.04% and a negative EBIT margin of -4.03%. The gross profit margin remains healthy at 59.62%, indicating good operational efficiency.
Balance Sheet
55
Neutral
The balance sheet reflects a moderate financial position. The debt-to-equity ratio is relatively high at 0.89, indicating significant leverage and potential financial risk. The equity ratio stands at 35.12%, suggesting a stable equity base but room for improvement. Return on equity is currently negative, reflecting ongoing net losses.
Cash Flow
58
Neutral
Aurora Spine's cash flow statement exhibits some positive aspects, such as a positive operating cash flow to net income ratio of 0.80, indicating good cash generation relative to reported losses. However, the free cash flow growth rate is negative at -6.51%, and the free cash flow to net income ratio is also low, pointing to challenges in generating excess cash after capital expenditures.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue17.56M14.52M14.88M10.54M8.65M
Gross Profit10.63M8.21M7.81M4.83M3.47M
EBITDA179.90K-446.20K-469.27K-1.90M-573.86K
Net Income-1.00M-1.68M-1.50M-2.36M-232.09K
Balance Sheet
Total Assets11.67M11.99M10.12M10.56M7.16M
Cash, Cash Equivalents and Short-Term Investments775.62K766.83K423.40K3.17M1.71M
Total Debt3.67M3.65M2.97M2.38M2.34M
Total Liabilities7.28M6.69M5.81M4.99M3.87M
Stockholders Equity4.40M5.30M4.32M5.57M3.28M
Cash Flow
Free Cash Flow266.47K-1.41M-2.43M-2.85M-245.07K
Operating Cash Flow904.33K-935.06K-1.56M-2.13M309.57K
Investing Cash Flow-484.32K-479.13K-873.21K-720.61K-554.64K
Financing Cash Flow-361.22K1.76M-318.15K4.31M1.51M

Aurora Spine Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.35
Price Trends
50DMA
0.31
Positive
100DMA
0.32
Positive
200DMA
0.36
Negative
Market Momentum
MACD
<0.01
Negative
RSI
67.84
Neutral
STOCH
100.00
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ASG, the sentiment is Positive. The current price of 0.35 is above the 20-day moving average (MA) of 0.32, above the 50-day MA of 0.31, and below the 200-day MA of 0.36, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 67.84 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ASG.

Aurora Spine Peers Comparison

Overall Rating
UnderperformOutperform
Sector (52)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
C$132.50M-8.34%0.69%-95.27%
61
Neutral
C$27.32M-23.87%18.97%17.57%
54
Neutral
C$240.43M-66.14%51.21%15.33%
52
Neutral
$7.46B-0.04-63.82%2.49%16.43%<0.01%
49
Neutral
C$25.23M-163.62%245.01%-4.91%
48
Neutral
C$50.16M-291.48%-8.63%7.04%
44
Neutral
C$24.21M207.08%280.56%-7.28%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:ASG
Aurora Spine
0.34
0.06
21.43%
TSE:PINK
Perimeter Medical Imaging AI
0.24
-0.24
-50.00%
TSE:QIPT
Quipt Home Medical
3.05
-2.06
-40.31%
TSE:PRN
Profound Medical
7.98
-6.27
-44.00%
TSE:TLT
Theralase Technologies
0.20
0.03
17.65%
TSE:VPT
VentriPoint Diagnostics
0.14
-0.08
-36.36%

Aurora Spine Corporate Events

Product-Related AnnouncementsBusiness Operations and Strategy
Aurora Spine to Showcase Innovations at ASPN Conference
Positive
Jul 15, 2025

Aurora Spine announced its participation in the 7th Annual American Society of Pain & Neuroscience Conference, where it will showcase its ZIP product series and introduce the AERO Lumbar Fusion System. The company’s involvement, including a podium talk on its novel interspinous fusion device, highlights its commitment to innovation and positions it prominently within the industry, potentially impacting its market presence and stakeholder interests.

Product-Related Announcements
Aurora Spine Launches AERO Lumbar Fusion System with Initial Surgeries
Positive
Jul 9, 2025

Aurora Spine has announced the initial surgeries using its new AERO Lumbar Fusion System, a minimally invasive device designed for patients with facet joint-related pain or instability. The system has received positive feedback from surgeons and is expected to drive significant growth for the company, aligning with its commitment to advancing patient-first, surgeon-friendly innovations.

Product-Related AnnouncementsBusiness Operations and Strategy
Aurora Spine Celebrates Milestone with DEXA-C System and Prepares for New Product Launch
Positive
Jun 16, 2025

Aurora Spine has achieved a significant milestone with its DEXA-C system, having been used in over 1,500 cervical spine surgeries across the United States. This accomplishment highlights the growing adoption and effectiveness of their DEXA Technology, which is designed to match patient bone density and improve surgical outcomes. The company is preparing to launch a new product, the DEXA-L, in Q4 2025, which will expand their portfolio and further address the challenges of spinal fusion in patients with low bone density. This advancement positions Aurora Spine as a leader in patient-matched spinal care, offering innovative solutions for diverse patient needs.

Product-Related AnnouncementsBusiness Operations and Strategy
Aurora Spine Achieves Milestone with SiLO™ System in Over 2,500 Procedures
Positive
Jun 10, 2025

Aurora Spine has achieved a significant milestone with its SiLO™ Sacroiliac Joint Fusion System, which has been used in over 2,500 procedures across the United States. This accomplishment highlights the growing adoption of their minimally invasive technology, which is designed to improve patient outcomes and recovery times. The company’s continued innovation and expansion in the U.S. market, along with positive feedback from the surgical community, underscore its leadership in the field of spinal solutions.

Business Operations and Strategy
Aurora Spine to Engage Investors at Lytham Partners Spring 2025 Conference
Positive
May 28, 2025

Aurora Spine Corporation announced its participation in the Lytham Partners Spring 2025 Investor Conference, where it will present a webcast and host one-on-one meetings with investors. This participation underscores Aurora Spine’s commitment to engaging with investors and stakeholders, potentially enhancing its market presence and investor relations.

Product-Related AnnouncementsBusiness Operations and StrategyFinancial Disclosures
Aurora Spine Reports Record Q1 2025 Financial Results and Strategic Growth Initiatives
Positive
May 22, 2025

Aurora Spine Corporation announced record financial results for the first quarter of 2025, with a 10% increase in revenue compared to the previous year. The company received FDA clearance for its AERO Facet Fusion System and reported significant sales growth in its DEXA-C cervical implant. Aurora Spine is optimistic about future growth, driven by its robust R&D efforts and upcoming product launches, including the DEXA-L series and the AERO system, which are expected to enhance patient outcomes and expand market reach.

Financial Disclosures
Aurora Spine to Announce Q1 2025 Financial Results
Neutral
May 19, 2025

Aurora Spine Corporation announced the release schedule for its first quarter fiscal 2025 financial results, which will be filed on May 21, 2025, with a press release and investor conference call to follow on May 22, 2025. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor relations.

Product-Related AnnouncementsBusiness Operations and StrategyFinancial Disclosures
Aurora Spine Reports Record Revenue and Positive EBITDAC for FY 2024
Positive
Apr 29, 2025

Aurora Spine Corporation reported a record revenue of $17.6 million for fiscal year 2024, marking a 21% increase from the previous year. The company’s financial success was driven by a 135% surge in sales of the SiLO-TFX SI joint implant, expansion of its internal sales force, and increased margins. The company also achieved its first annual positive EBITDAC and is poised for further growth with the recent FDA clearance of its new AERO product platform.

Financial DisclosuresRegulatory Filings and Compliance
Aurora Spine to Release Q4 and Fiscal 2024 Financial Results
Neutral
Apr 23, 2025

Aurora Spine Corporation announced the release of its fourth quarter and fiscal year 2024 financial results, scheduled for April 28, 2025. The company also clarified an error in its management information circulars regarding its stock option plan, ensuring the correct version will be included in future shareholder meeting materials.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 16, 2025