AtriCure Reports Solid Growth in 3Q23 on the Heels of New Technology Offerings for Atrial Fibrillation
11-3-23 (by: Scott Gleason) AtriCure has reported its financial results for the third quarter of 2023 with the company’s worldwide revenue reaching $98.3 million, marking 18.1% year-over-year increase. Street forecasts had called for revenue of $96.7 million. The company noted strong growth with its EnCompass clamp used in open ablation procedures and providing quicker time to completion. Most ablations for atrial fibrillation treatment are done percutaneously, but Atricure is a leader in open ablation technology when the ablations are done in conjunction with other open heart surgeries. EnCompass sales were over $10 million in the quarter and grew 20%. The company also noted that its AtriClip Flex·V device for left atrial appendage closure in patient at risk of blood clots saw strong growth. The company discussed the advent of pulse field ablation technologies and said they support them and believe they will be beneficial to their Hybrid AF technology, which treats patients with persistent atrial fibrillation where earlier intervention failed by ablating areas both within and outside the heart. They have the only approved technology for this procedure. Finally, the company saw strong growth in its cryoSPHERE probe for pain management which was up 24%.
Management also highlighted the LeAAPS clinical trial. The objective of this trial is to evaluate the effectiveness of left atrial appendage exclusion (LAAE) for the prevention of ischemic stroke or systemic arterial embolism in subjects undergoing cardiac surgery who have risk factors for atrial fibrillation and ischemic stroke. In this trial, AtriCure is targeting the population of patients not diagnosed with atrial fibrillation who undergo cardiac surgery, comprising about 660,000 patients per year globally. The goal is to see if early intervention can lower the risk of post-operative stroke and other complications, which could expand the market for AtriCure’s products.
Michael Carrel, President and Chief Executive Officer at AtriCure, expressed enthusiasm regarding the strong quarter and the progress made on strategic objectives. The company’s commitment to prudent investments, coupled with meaningful operating leverage, positions AtriCure for future growth in their markets.
Looking ahead, AtriCure expects full-year 2023 revenue to range from $394 million to $396 million, indicating growth of approximately 19% to 20% over the full year 2022. Management also anticipates achieving positive adjusted EBITDA of around $18 million to $20 million for the full year 2023, and an adjusted loss per share ranging from approximately ($0.74) to ($0.76).