CVRx, Inc. (NASDAQ: CVRX) Q2 2025 Earnings | 08/05/2025

16 days ago

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Earnings Calls

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Summary of CVRx, Inc. Q2 2025 Earnings Call

Key Participants:

Host: Mike Vallee (Investor Relations, ICR)
Speakers: Kevin Hikes (President & CEO) and Jared O’Shine (CFO)

Financial & Operational Highlights:

Revenue: $13.6M (+15% YoY) – U.S. heart failure revenue grew to $12.2M (+15% YoY).
Active Implant Centers: 240 (vs. 227 in Q1 2025), with 47 U.S. sales territories (up from 45).
Gross Margin: 84% (flat YoY).
Net Loss: $14.7M ($0.57/share), slightly higher than $14M loss in Q2 2024.
Cash Position: $95M (burn of $8M in Q2).

Growth Drivers & Strategic Updates:

Salesforce Transformation:
- Turnover normalized, with 35% of territory managers hired since January 2025.
- Focus shifted from hiring to onboarding/training to boost productivity.
- Targeting Tier 1/2 accounts but seeing traction in Tier 3/4 centers with strong clinical champions.
Reimbursement Progress:
- Category 1 CPT codes (effective Jan 2026) will reduce prior authorization denials.
- CMS proposed maintaining reimbursement at ~$45K for outpatient procedures (New Tech APC 1580).
- Physician payments expected to stabilize (~$550 per implant).
Clinical & Awareness Efforts:
- FDA discussions ongoing for a randomized controlled trial (ejection fraction ≤50%, NT-proBNP ≤5,000).
- 100+ educational programs for advanced practice providers (APPs) to drive referrals.
- Upcoming Heart Failure Society of America meeting (Sept 2025) to boost KOL engagement.

2025 Guidance:

Revenue: Narrowed to $55–57M (from prior $54–58M).
Gross Margin: 83–84%.
Operating Expenses: $96–98M.
Q3 2025 Revenue Outlook: $13.7–14.7M.

Leadership Update:

Brent Benkowski appointed as Chief Operating Officer (starting August 2025), bringing 20+ years of medtech experience.

Key Analyst Q&A Takeaways:

Salesforce Productivity: New reps take 6–12 months to ramp; early contributors seen in Q2.
Reimbursement Impact: Category 1 codes will reduce denials but may not eliminate prior auths.
Tier 3/4 Accounts: Selectively targeted as "satellites" to larger Tier 1/2 centers.
OPPS Code: Push for Level 6 neurostimulator APC continues, but likely remains in New Tech APC for 2026.

Outlook:

CVRx is stabilizing its salesforce, improving reimbursement, and expanding evidence generation to drive adoption of Barostim for heart failure. While near-term growth depends on rep productivity, 2026 catalysts (Category 1 codes, trial updates) position the company for accelerated uptake.

About this video

CVRx, Inc. delivered robust second quarter 2025 results with strong revenue growth and continued operational expansion, despite persistent net losses as investment in commercial and reimbursement initiatives intensified. Total revenue for Q2 2025 reached $13.6 million, up 15% from the prior-year period and exceeding analyst expectations. U.S. heart failure revenue made up $12.1 million, also a 15% increase, while European revenue rose 19% to $1.3 million. The number of active implanting centers in the U.S. climbed to 240, reflecting successful sales force and commercial expansion. Gross profit was $11.5 million (84% gross margin), and research & development expenses declined 11% to $2.5 million. Selling, general, and administrative expenses, crucial for sales territory growth, rose 11% to $23.4 million. CVRx reported a net loss of $14.7 million, or $0.57 per share, slightly higher than last year’s loss but narrower on a per-share basis due to a higher share count. Cash and equivalents stood at $95.0 million as of quarter-end. Operational highlights included favorable proposed reimbursement changes from CMS, keeping Barostim in the high-payment New Technology APC for 2026 and advancing new Category I CPT codes for physician payments. Real-world data presented at key conferences highlighted major reductions in hospital visits post-Barostim implant. A new COO, Brent Binkowski, will oversee operations, R&D, and regulatory affairs. For full-year 2025, CVRx guided revenue to $55.0–$57.0 million and gross margin to 83–84%, with Q3 revenue expected at $13.7–$14.7 million. The company remains focused on deepening institutional adoption of Barostim, expanding reimbursement, and preparing for a pivotal, large-scale clinical study. About Inside Ticker: For more expert analysis and real-time updates on CVRx, Inc. (NASDAQ: CVRX) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies. #CVRx #CVRX #Q22025 #Earnings #FinancialResults #NetLoss #Revenue #Barostim #HeartFailure #Implant #MedicalDevices #Growth #Reimbursement #CMS #CPTCodes #Hospital #ClinicalTrials #SalesForce #COO #CashRunway #NASDAQ #InsideTicker #2025Outlook #GrossMargin #Innovation #Healthcare #Cardiology #DeviceTherapy #InvestorUpdate

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