Recent Highlights
- Total revenue of
$8.7 million for the third quarter of 2021, compared to$2.1 million in the prior year period U.S. system revenue of$5.0 million for the third quarter of 2021, compared to$0.6 million in the prior year periodU.S. handpiece revenue of$2.2 million for the third quarter of 2021, compared to$0.5 million in the prior year period- International revenue of
$1.3 million for the third quarter of 2021, compared to$1.0 . million in the prior year period - Completed initial public offering, raising approximately
$172.4 million in net proceeds - Announced new positive coverage policy from Cigna, effective
September 15, 2021 - Issued 2021 total revenue guidance range of
$33.0 to$33.3 million
“We are very pleased with the results we delivered in the third quarter, which was capped off by the positive coverage policy announcement by Cigna in late September to expand Aquablation covered lives by an additional 16 million persons,” said Reza Zadno, Chief Executive Officer. “We are also proud of our successful completion of our IPO and are grateful for the support of the participating investors. The proceeds from the offering will enable us to further scale our business and invest in the commercial infrastructure to accelerate the adoption of Aquablation therapy to become the standard of care for BPH.”
Third Quarter 2021 Financial Results
Total Revenue was
Gross margin for the third quarter 2021 was 48.9% compared to a -1% in the third quarter of 2020 and 42.2% in the second quarter of 2021. The increase relative to the second quarter of 2021 was driven primarily by increased system average selling prices.
Total operating expenses in the third quarter of 2021 were
Net loss was
Cash and short-term investments as of
2021 Financial Guidance
The Company expects full year 2021 revenue to be in the range of
Webcast and Conference Call Information
About
PROCEPT is a surgical robotics company focused on advancing patient care by developing transformative solutions in urology. PROCEPT develops, manufactures and sells the AquaBeam Robotic System, an advanced, image-guided, surgical robotic system for use in minimally invasive urologic surgery with an initial focus on treating benign prostatic hyperplasia, or BPH. BPH is the most common prostate disease and impacts approximately 40 million men in
Forward Looking Statements
This release contains forward‐looking statements within the meaning of federal securities laws, including statements regarding the potential utilities, values, benefits and advantages of Aquablation® therapy performed using PROCEPT’s products, including AquaBeam® Robotic System, which involve risks and uncertainties that could cause the actual results to differ materially from the anticipated results and expectations expressed in these forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are only predictions based on our current expectations, estimates, and assumptions, valid only as of the date they are made, and subject to risks and uncertainties, some of which we are not currently aware. Forward-looking statements may include information the impact of the COVID-19 pandemic on the Company and its operations, the Company’s possible or assumed future results of operations, including descriptions of the Company’s revenues, gross margin, profitability, operating expenses, installed base growth, guidance for 2021 full year, commercial momentum, or overall business strategy. Forward‐looking statements should not be read as a guarantee of future performance or results and may not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. These forward‐looking statements are based on PROCEPT’s current expectations and inherently involve significant risks and uncertainties. Actual results and the timing of events could differ materially from those anticipated in such forward‐looking statements as a result of these risks and uncertainties. These risks and uncertainties are described more fully in the section titled “Risk Factors” in PROCEPT’s filings with the
Investor Contact:
Matt.bacso@gilmartinir.com
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
2021 | 2020 | ||||||||
Assets | |||||||||
Current assets: | |||||||||
Cash and cash equivalents | $ | 320,484 | $ | 100,130 | |||||
Accounts receivable, net | 6,353 | 1,549 | |||||||
Inventory | 10,401 | 6,924 | |||||||
Prepaid expenses and other current assets | 2,232 | 1,653 | |||||||
Total current assets | 339,470 | 110,256 | |||||||
Restricted cash | 777 | 777 | |||||||
Property and equipment, net | 5,731 | 8,274 | |||||||
Operating lease right-of-use assets, net | 3,667 | 4,641 | |||||||
Intangible assets, net | 1,818 | 2,023 | |||||||
Total assets | $ | 351,463 | $ | 125,971 | |||||
Liabilities, Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) | |||||||||
Current liabilities: | |||||||||
Accounts payable | $ | 3,590 | $ | 1,240 | |||||
Accrued compensation | 4,875 | 4,640 | |||||||
Note payable – current portion | — | 4,551 | |||||||
Operating lease – current portion | 2,032 | 1,708 | |||||||
Deferred revenue | 848 | 233 | |||||||
Other current liabilities | 2,834 | 2,154 | |||||||
Total current liabilities | 14,179 | 14,526 | |||||||
Note payable – non-current portion | 49,762 | 44,407 | |||||||
Operating lease – non-current portion | 2,550 | 4,096 | |||||||
Loan facility derivative liability | 1,460 | 1,782 | |||||||
Other non-current liabilities | 200 | 200 | |||||||
Total liabilities | 68,151 | 65,011 | |||||||
Redeemable convertible preferred stock | — | 243,854 | |||||||
Stockholders’ equity (deficit): | |||||||||
Common Stock and additional paid-in capital | 526,526 | 18,788 | |||||||
Accumulated other comprehensive loss | (41 | ) | (14 | ) | |||||
Accumulated deficit | (243,173 | ) | (201,668 | ) | |||||
Total stockholders’ equity (deficit) | 283,312 | (182,894 | ) | ||||||
Total liabilities, convertible redeemable preferred stock and stockholders’ equity (deficit) | $ | 351,463 | $ | 125,971 |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(in thousands, except per share data)
(unaudited)
Three Months Ended | Nine Months Ended | ||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||
Revenue | $ | 8,668 | $ | 2,107 | $ | 24,335 | $ | 4,496 | |||||||||||
Cost of sales | 4,428 | 2,138 | 12,986 | 6,221 | |||||||||||||||
Gross profit | 4,240 | (31 | ) | 11,349 | (1,725 | ) | |||||||||||||
Operating expenses: | |||||||||||||||||||
Research and development | 4,919 | 3,893 | 13,917 | 11,732 | |||||||||||||||
Selling, general and administrative | 12,118 | 7,054 | 34,765 | 21,138 | |||||||||||||||
Total operating expenses | 17,037 | 10,947 | 48,682 | 32,870 | |||||||||||||||
Loss from operations | (12,797 | ) | (10,978 | ) | (37,333 | ) | (34,595 | ) | |||||||||||
Interest expense | (1,469 | ) | (1,387 | ) | (4,370 | ) | (3,490 | ) | |||||||||||
Interest and other income, net | 163 | 357 | 198 | 344 | |||||||||||||||
Net loss | $ | (14,103 | ) | $ | (12,008 | ) | $ | (41,505 | ) | $ | (37,741 | ) | |||||||
Net loss per share, basic and diluted | $ | (1.22 | ) | $ | (2.77 | ) | $ | (5.64 | ) | $ | (11.34 | ) | |||||||
Weighted-average common shares used to | |||||||||||||||||||
compute net loss per share attributable to | |||||||||||||||||||
common shareholders, basic and diluted | 11,580 | 4,329 | 7,361 | 3,327 | |||||||||||||||
Other comprehensive loss: | |||||||||||||||||||
Unrealized (loss) gain on cash equivalents | (2 | ) | (16 | ) | (27 | ) | 3 | ||||||||||||
Comprehensive loss | $ | (14,105 | ) | $ | (12,024 | ) | $ | (41,532 | ) | $ | (37,738 | ) |
REVENUE BY TYPE AND GEOGRAPHY
(in thousands)
(unaudited)
Three Months Ended | Nine Months Ended | ||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||
System sales and rentals | $ | 5,038 | $ | 646 | $ | 14,368 | $ | 1,106 | |||||||
Hand pieces and other consumables | 2,184 | 451 | 5,458 | 930 | |||||||||||
Service | 169 | 16 | 378 | 26 | |||||||||||
Total | 7,391 | 1,113 | 20,204 | 2,062 | |||||||||||
Outside of | |||||||||||||||
System sales and rentals | 481 | 369 | 1,725 | 1,111 | |||||||||||
Hand pieces and other consumables | 666 | 596 | 2,159 | 1,278 | |||||||||||
Service | 130 | 29 | 247 | 45 | |||||||||||
Total outside of | 1,277 | 994 | 4,131 | 2,434 | |||||||||||
Total revenue | $ | 8,668 | $ | 2,107 | $ | 24,335 | $ | 4,496 |
Source:
2021 GlobeNewswire, Inc., source