NSPR - Earnings call transcript Q3 2020

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Operator

Ladies and gentlemen, thank you for standing by. Good morning and welcome to InspireMD Third Quarter 2020 Financial Results and Corporate Update Conference Call. At this time, all participants are in listen-only mode. [Operator Instructions] After today's presentation, there'll be an opportunity to ask questions. [Operator Instructions] Participants of this call are advised that the audio of this conference is being broadcast live over the internet and is also being recorded for playback purposes. the call be XXXX. and of hour approximately replay the after through webcast call available will one A February Xth, now the turn like to I'd Mr. call over to of Relations President Scott company's IR, Investor Gordon, firm. Core the Please go ahead.

Scott Gordon

you, for us you XXXX results for everyone. conference update quarter joining and third Nick, corporate and InspireMD call. Thank morning, financial Thank good the

Officer. Joining and Craig InspireMD; Executive Officer us of today from Chief InspireMD Financial are Marvin Slosman, Chief Shore,

expectations for During COVID-XX. management InspireMD's statements be that particularly forward-looking results, making the including performance this statements, future in call, will of operational or address light

statements that from results Forward-looking involve cause risks statements. factors and materially may differ other to actual those

XX-Q that the is please InspireMD's SEC InspireMD disclaims the X-K and more statements about periodic time-sensitive cautionary filed after It's InspireMD's law, Form Marvin pleasure November, revise filed today, update For that to publicly or the Except The obligation accompanies that Marvin, cautionary contains any press the the ahead. Risk in Form to Factors of on particularly, refer it. most turn these this content or circumstances recently now by statements accurate call or XXXX. go described call, call. to risks, events today, information to occur to required any call reflect as only over this with of reports information information release Slosman. and the this my Xth, XX-K please

Marvin Slosman

thank the Great, you, thank all on webcast you. Thank call And joining you for Scott. today. the

more the Investing of market higher to will in prepared a recovery. XXXX thus cautious QX this and XXXX grew revenues a feel to address levels going ongoing customers and during from stronger pandemic, time quarters of and our We which of direction the uncertain for programs pandemic third a channel knowledge online awareness specific to team optimistic times recovery. of objectives. training optimism continue forward, attainment leadership outreach needs communication market accelerated to and and addition unpredictable While partners. customer new drive but this quarter-over-quarter versus will business restoring at having foundation in nature understand committed two all, growth quarter affect transfer XXXX and sequentially in the the our have us how goal we remains announced of remain level levels, with we're of and both and COVID-XX Through we the last our thrilled provided have our

quarter more XXX% elective this third in total the sales of third the in for XX% third for second quarter in XXXX, and of month policies way search the to key performance, of procedures increase quarter, continue in sales relaxes including As occurring in at those efficient our yield implement [CAS] procedures nearly versus [ph] strong the of operations no This management. continued the to resurgence to quarter. proactive markets continued result ensure with our the

outbreak. reinforces However, the that notwithstanding delays procedures necessity, in associated remain this assumption with COVID-XX the CAS our timing

EPS. or Exemption conditional XXth, As for pivotal of application study XXXX, IDE milestones, US Investigational of the FDA initiate Device other our granted meaningful June to on approval CGuard a

with artery During more development particularly Dr. preparations than trial effort. research research assist wanted of related experience area study to States. to disease, United recent relationship successful for study now in in CGuard carotid invaluable the and With and of vascular strategic hires. be for our to in advisory expertise and announced experience, CARENET-III of this with of execution. the application extensive in specific brings our artery Christina InspireMD approval, quarter, the moment, a the the the execution of trial with years stent we trial will planning initiation pivotal first, XX in and and Dr. final the EPS, we development United program clinical IDE wealth the and clinical leadership Brennan more have pivotal her CGuard received approval I'll as carotid key the two begun a I Shortly States on to Brennan after of stent. return a mention and progress but the we clinical

which Jamnik will new play short Patrick will in welcome a business we advancing the be our First, role much US Development Vice the as activities Initiatives. and Business strategic President of goals, Strategic key and company's oversee in Patrick his our of focus market. and long-term development

traction growth, new to we develop will superior the we'll results platform, get pathways CGuard stem to gain leadership leverage to we and look us As help for and strategic EPS to there. continue clinical of Patrick's our

of partners The expansion cardiologists most has of announcement, globally second one leadership leading needed Board appointment commercial finally, Andrea experience Dr. to of of CGuard and of Tommasoli. elevate tremendous credibility Vice direction reiterated recognized adds of of global internationally value Andrea's by an the and channel and President contribution investment indirect and hire our Marketing, commercial provides is financial to investment geographic customer marketing an and higher our markets. in our of Roubin and Roubin. Andrea's teams, of in in active growth focus Gary interventional effort performance standard our And our the the essential care Directors endorsement, served Sales Global our in renowned Dr. acceleration immediate particular, our company's leadership EPS. as and to and of new and sales Senior our

that to direction pioneering achievements his embolic Roubin's invaluable of our focus. be to and formidable devices depth work Dr. protection carotid addition vascular in business our and brings a and stenting future medicine, will In in in experience expertise

platform, to Birmingham, Cardiac he neurovascular Interventional University in Services a outcomes. programs part helped as and I standing of improve at in cardiologist tenure important And expound stent direction and presence Dr. He later have expressed Gary's treated and perspectives Chief could scientist, clinical unmatched validation vast direction him Chairman that Director. Roubin's our joined is and Hospital to of I Board. to and New accomplishments quarter numerous both Ultimately, patient we programs believe would MicroNet to Cardiology tremendous Chief results. thrilled a an are a that way to focus will the confidence, to as his in and CGuard differentiated CGuard experience confidence strokes the interventional Department the which the the lends peerless very reputation of and thoughtful the our fortunate Roubin's to we're the system. prevented. cardiac recognize of international enabled provide York, has bring Lenox his innovations advanced and him insight, then his so as innovator peripheral, of Vascular like now a our have it's and to has artery Alabama Dr. at Hill our During as business, board interventions. him on our at on carotid and as is and technical vote EPS technology for in undertaken and turn have disease why also meaningful we and third we're change

of to endarterectomy. have. and CGuard disease disease stent a disease most carotid dimension deliver step to EPS versus we the value year why a flexibility the post-procedural said, the growth the Interventional plaque the this clinical the to coronary to to three carotid and most CGuard new condition toward rooted a expansion remain procedures pathway the technology to through as after against what to demonstrate view open the strategic is next-generation This to in System spread of market platform foundation prolapse performed standard establish months leave endarterectomy, of the the CGuard stroke. standard served strut The as a uncertainty our by vascular EPS ended proposition. our markets, cell September well as while artery of of seeing of and to is our and last the we vascular patient stent revenue new compared outcomes treatment their the XXth, covered step open business we but abdominal procedures more CAS the $XXX,XXX represents hospital. surgeons and of a major us a in increase solution CGuard of protects as ongoing stroke peripheral results sequentially cerebral can critical to stents, and during all prolapse care with embolization with optimistic the carotid for of artery artery combat a to the the of significant as more number the procedural cautiously disease, XXX% and stent of or endovascular $XXX,XXX generation associated This robust, care, just to protected endovascular same alternative surgical cell continues market which as remain CGuard's For and they solution XXXX, communities peri-procedural in procedures for stent procedure. period last to about share types, pre-COVID focusing vascular of quarter. importantly, stent INR, as revascularization has These superiority in the unique advanced is first-line artery system, quarter. we're carotid advance aneurysms, return compared events value the same carotid after COVID-XX, artery against invasive Taking impact. CGuard potential back XX% of new That from conventional carotid value remains created way in story fourth success revenues believe traditional aneurysms to next Protection much the MicroNet to instituted and aortic an than our truly CAS, management top embolic created which and the generated lead surgeon for thoracic, demonstrate of through leading quarter, and ago, continues reminder Embolic EPS our who as total conversions vast such Neuroradiology levels an restrictions stent designed procedure, prevention. priority. $XXX,XXX double-layer disease proposition, protection patients core second with superior broadening of advanced for be We systems mitigates

Japan We the transfemoral as these set platforms. leaders, priority our business. efforts continue to double including as subspecialty continue surgeons expansion. such, key development work and on of a the markets delivery tool a systems each to a look stent EPS market, opinion with as generation direction. advancing China clinical high a and advance our word including remain CGuard global And to than and we now addressable platform, bolster on adjunctive the vascular and transcarotid a strategic initiatives for more of delivery to of use We these next solutions current represent provide our to of in and new range supporting options clinician our

into from training direct expand a we financials. our future to to partners, distributor discussions to procedure. potential markets last to Europe, highly quarter With commercial approval These completed in our I'll efforts with second call to remain these in Craig EPS orders approval both for CGuard quarter, continue approval of pillar regions we announcing focus that, In We our partners and application over the the Brazil, our we've our global our a turn stent sales including registration plan successfully progress. forward be growth. on which review first reminder, expansion, have market completed priority Craig? progressing a France, of our and look of once valuable distribution is received and market registration complete. in a US following combined In Asian these reimbursement and as are

Craig Shore

Marvin you, to everyone for Thank joining today. and

expenses highlights ended are ended sales during $XXX,XXX for the increase was This and for XXXX. the with expenses same XXXX to sales increase to $XXX,XXX $XXX,XXX this quarter. of months related $X.X margin of an Liability industry, of period was increase September and won. recent driven months September during X.X% for months development from three ended the new the quarter the by increased return September driven mentioned. This during procedures three the system XXXX compensation expenses largely the during European in expenses, are due our September $XX,XXX million, during to million of associated non-COVID-XX September volume resources in advanced share, resulted the EPS, MGuard XXXX to same an September months to beginning in months a XXth, loss same by months compared to XXXX, of Directors' during rates. September increase XXth, in by was XXXX. factors ended or regulatory which $XX,XXX economic key some to basic XXXX a compared financial primarily XXth, XXth, and EPS Prime increase decrease $XXX,XXX the the new XXth, expenses ended the $XXX,XXX $X.XX procedures I Insurance just September of during for the $XXX,XXX diluted of described, XXth, governments quarter were This from resulted material the ended in for scheduled and timing by compared which XX.X% during shareholders gross revenues $XXX,XXX, to mitigate for shipments third XX% the in for months in distributors $XX,XXX of months levels by were recently XXXX mainly began Total or increase months due a decrease increases to part $XX,XXX, an three compared quarter three was three three $XX,XXX ended miscellaneous to delivery expense. $XX,XXX the the in September increase towards order of or ended generally This a increase was in XXth, Gross a $XXX,XXX, mainly meeting XXXX from a the labor XXth, COVID-XX. were partially in due EPS, of for as $XXX,XXX Revenues a $XXX,XXX $XX,XXX expense worldwide one to XXXX, in XXth, to a three Financial Union to less driven imposed with financial non-emergency by of X.X% offset standards, in $XXX,XXX reasons write-offs, operating mainly of offset XXth, to EPS of normal September changes XXth, ended This XXXX. the XXXX. and of September increase an light $XX,XXX XXXX during hospitals Officers' $X.X period quarter share for third CGuard reshift three end increase and three loss the to decrease Gross These September of The timing XXXX, XXXX, quarter patients. insurance Here CGuard expenses for annual travel to tender from the net of the for profit three per XXth, Net XXXX. ended $X,XXX,XXX to of volume decrease compliance the the component of the only decrease associated XXth, our of in for of exchange $XX,XXX profit to months to basic compared were a issue totaled increase spread XX.X% period by miscellaneous restrictions mainly XXth, $XX,XXX due for September the XX.X%, in months related in did the three diluted XXXX. expenses CGuard decrease in ended $XX,XXX to from per the in XXXX. ended costs, to ended a in three were expenses ended XX% months supply XXXX XXX% changes the $X,XXX,XXX or in which reoccur driven $X.XX primarily September the a not just

like would $X,XXX,XXX XXth, go XXXX. cash please XXst, of equivalents XXXX, With that, call over as I were Nick, the As to and $XX,XXX,XXX to questions. compared of now for December September cash ahead. turn

Operator

Please question ahead. [Operator of Haynor Alliance from Instructions] Global comes First the Benjamin Partners. go

Benjamin Haynor

morning, for the taking questions. Good Thanks guys.

like you've there. profile, personnel Dr. him. How know a that or assemble I all you came additions, talk You able I about know, bit how been of him think quite get know that's it for you me, Can roster know, you pretty investor? know And first space the about? high as able the Roubin, the seems congrats to on and an are Board little in him get the investors to on

Marvin Slosman

Ben. question. the Thanks, Yeah. Thanks for

and part at connection Christina the role. Brennan, having Dr. came Northwell, know, known of through You as a Roubin to indirectly we're have organization a Director I've known for who either and accepted this Gary actually or together. thrilled their Christina And Roubin, Brennan think Gary a go in Brennan and years. way worked by history I has personally number industry back in Gary everyone of reputation. The

And it than And you connected it connection just made a industry would felt was and into just his the just discussions, Christina, when more found And his interest. just Board a experience know, addition be follow-up Roubin, had, with great so we the know to the and to we some he with lengthy that there discussion. with dug the Dr. in knowledge. you insightfulness in valuable, and casual appeared I incredibly interest as we be deeper

to you helping talent the roster part of in So said, him you aspects. toward, all know, to of I continues grow as thrilled have build And the we're organization. and think

Benjamin Haynor

color Excellent, you more read you've bit know, thanks like in you channel or And partners. your for then, little there. from through your distributor the had it sounds customers past the than have a

that, you you otherwise? strategically business how know, about can move know, You the how might change, talk COVID or during you

Marvin Slosman

Yeah, the partners the bag, understand to knowledge to strategic sure partners bringing of and CGuard the of company. level of making we're rises just, top the outwardly in customer-driven in you the dig list a by said the the part EPS of that opportunity best I to the the and always an depth to that direction sure and the and focused, be understanding that sort make the But markets us deeply being think are given has available, in to opportunities. to covered to scenario really place try served and next our Ben a talent distribution into go most And step this both COVID-XX I next we to know, this is have beginning model. thinking commercially think year that importantly, organization of

results absolutely our job making and here, So the through And lot the to pick you tell ultimately are know, have which right we studies, a the of disseminated we're storyline to value from a a of coming backbone as focused a know, commercially company, getting clinical a channel partners, is our shift information to R&D-based we the that better a of is, organization. up on that is, you to, great of and fundamentally customer. all do need much that

as particular, and So Andrea, that sales a leads group will be to continue going in the for priority he forward. marketing

Benjamin Haynor

Okay, to kind convert help does or carotid helpful. all? CAS from able surgeons then over necessarily you of that's that that And you be doesn't also and at endarterectomy to help

Marvin Slosman

Yeah, it's I certainly this think business. I mean a Ben. does, is touch

I this is we at procedure that what connect to customers directly we with one really and time, think do a of a we all itself credibility we customer practice. and time, in the is what one and make their in how understand at sell change manifested

community, surgery they setup, And are as interventional operators range interesting focused the disease, their so carotid practice, follow a cardiology community definitely primary we different because of a neuroradiology of as we to artery the use you there. well. sort of and on have part an get It's broad know, and who very tools

our disease. ultimately, so therapy know, CGuard that the as, first-line And is sure used the CASs that's know promoted and and make you for developed that is to goal stent you

well. the continues certainly customer and to vascular our has to So our will be base, on on as continue but be priority surgeon existing been

Benjamin Haynor

adjunctive mentioned options clearances then, or be delivery like year you're could geographies how know, release know, point? look you're And Okay, does things have I are advanced you And, the next timeline press guess, the and you development? the that these the in got on? tool what in tools in that that marketed in, at working you set you this regulatory you see know, these it. advanced know, far advanced of the say

Marvin Slosman

Yeah, develop done an next organization, and have our of portfolio Ben trying existing or has looking R&D this the you great part and to work generation know, people, our set looking products its constantly InspireMD within they're to tool that. best team a something an outside fundamentally whether of as at it's we of levels, at

and product those to multi-generational meaningful, variety products timeframe this underway know, we're depends have on it plan development you and making we are a we we've you area that have a for for certainly on different delivery to areas, about, working while so on XXXX talking potentially, hope that's in market been great system And progress know, of within, a that. transfemoral the a new really and

level great to we primary be to stent. number CGuard So able a occur, that detail next areas progress of of how provide in in will of drive a different rollout to making look really terms we're as but

Benjamin Haynor

Okay, the trial expect you the got the know, trial And excuse now ID enroll just, to the then FDA with - do and it. of first place, know, that you CGuard kind you got when in patient, me? first

Marvin Slosman

we tremendous performance as more all touches because able enrollment. we'll details of the in get really sort being got make the a selection, to in really on use investigator fundamentally those place, principal participating we're of trial last and we site that the then right begin have terms percentage this CRO So the what and otherwise, investigator, the prioritize solidly you being very and so on interested US people trial principal of well front wanted well in And depends much in on some enrolling. of end. versus how the final now as of to a in pieces to investigators we the partner, schedule and felt we've And in to down selections. these some on the patient for we're But we'll primary clear as Europe decisions making names also how discussed

progress great order, investigators. place in So pieces we'll finding a patient partner those in short in and but detailed looks rollout putting we're with our have enrollment, of right in CRO the how schedule hopefully making that and

Benjamin Haynor

to obviously, get then people. personnel additions And the make in you've the I on of the is helpful. there able would been that's to front know you imagine right that Sure, that from rolodex front you the

Marvin Slosman

very, comprehensive. It's very

lot a and people of That's bad. interested. So it's good

interest having So we're difficulty] the about [technical excited really

Benjamin Haynor

upsetting to have people. about actually you worry So

Marvin Slosman

great to we place that's right. It's but for Well, a please everyone, hope though. us yeah

Benjamin Haynor

congrats the progress Excellent. Right, leave that, know, all gentlemen. well at you I'll it on

Marvin Slosman

Ben. Thanks, Thanks. Thanks very much.

Operator

now This conference question-and-answer like over turn [Operator I'd concludes Instructions] session. to Slosman. ahead. Please Marvin to our the Mr. back go

Marvin Slosman

you. thank Great,

are continues competitive spite setbacks a provide to we with other Let in stents me to our COVID-XX, and investing absolute very commitment call the by future. our Thank patient you awareness tremendously of for associated options customers carotid We're outcomes. outperform and on focused optimistic conclude support. as best for singularly saying very our the will and a the and EPS that company drive for CGuard this in with to are stroke future management. we for clinical continue prevention maintaining artery bright to disease today offering these best carotid much and your

Operator

conference now Thank attending concluded. presentation. is for you today's The

may now You disconnect.

InspireMD (NSPR) 9 Nov 202020 Q3 Earnings call transcript