NASDAQ$NPCE

Neuropace Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

NeuroPace's revenue increased significantly, driven by initial implant sales.

NeuroPace reported a strong second quarter with a 65% increase in total revenue, driven by a 100% increase in initial implant revenue. The company is progressing with its plans to expand the indication of its RNS System and is on track to begin enrolling patients before the end of the year.

  • Total revenue reached $12.6 million, a 65% increase year-over-year.
  • Initial implant revenue was $9.2 million, a 100% increase year-over-year.
  • Gross margin improved to 74.1% compared to 71.0% in the prior year period.
  • Net loss was $8.5 million, slightly better than the $8.8 million loss in the prior year period.

Headline financials

Total Revenue

$12.6M

Previous: $7.64M+65.3%
EPS (adj)

-$0.48

Previous: $9.88-104.9%
Gross Profit Margin

74.1%

Previous: 71.0%+4.4%
Capital Expenditures

-$52K

No prior period
Free Cash Flow

-$8.55M

Previous: -$3.21M-166.1%
Net Income

-$8.49M

Previous: -$8.79M+3.4%
Operating Income

-$4.61M

Previous: -$3.45M-33.6%
Gross Profit

$9.36M

Previous: $5.42M+72.6%
Cash & Equivalents

$31.2M

Previous: $10M+212.5%
Total Assets

$147M

No prior period
Stock-Based Comp

$1.1M

Previous: $290K+280.3%

Revenue & EPS history

Neuropace · Revenue · Quarterly

$12.6M

Q2 2021+65.3%vs Q2 2020
Beat estimate in 10 of 12 quarters(83%)
ActualEstimate

Revenue by segment

Neuropace · $1.6M total across 1 segment · Q4 2022

  • DIXI Medical
    $1.6M

Forward guidance

Management continues to take a measured approach given the uncertainty surrounding COVID-19. The company reiterates full year 2021 guidance.

Tailwinds

  • Total revenue of approximately $47 million, representing growth of 14% compared to prior year.
  • Initial implant revenue of approximately $36 million, representing growth of 29% compared to prior year.
  • Initial implant revenue guidance of $36 million includes minimal clinical study revenue.

Headwinds

  • Uncertainty surrounding COVID-19, including the risk posed by new variants and the potential impact on hospital, physician and patient behavior.
  • Replacement implant revenue of approximately $11 million, representing a decline of 16% compared to prior year.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-0.7%

Avg return

Earnings day

-1.0%

Avg return

5 days after

-0.1%

Avg return

30 days after

50%

12 / 24 earnings

Positive

+37.4%

Q3 2025

Best reaction

-40.1%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.6%-1.8%
Q4 2025+1.1%+1.6%+5.9%
Q3 2025+37.4%+43.1%+74.5%
Q1 2025+21.6%+31.3%-14.5%
Q4 2024-2.4%-15.8%+2.6%
Q3 2024+25.7%+23.4%+49.9%
Q2 2024-1.9%-0.4%+4.8%
Q1 2024-40.1%-35.9%-51.4%
Q4 2023+0.8%+2.5%-8.4%
Q3 2023-1.4%+9.5%+14.6%
Q2 2023+9.8%+9.8%+103.4%
Q1 2023+1.9%-3.5%-15.4%
Q4 2022-13.3%-7.8%-1.9%
Q3 2022-9.9%-17.6%-29.6%
Q2 2022-3.5%-10.2%-26.6%
Q1 2022+1.2%-3.6%-3.8%
Q4 2021-0.9%-7.7%-1.2%
Q3 2020-15.2%-22.2%-47.7%
Q3 2021-15.2%-22.2%-47.7%
Q2 2021-7.6%-10.7%-8.0%
Q2 2020-7.6%-10.7%-8.0%
Q1 2020+0.8%+8.7%+2.2%
Q1 2021+0.8%+8.7%+2.2%
Q4 2020+0.8%+8.7%+2.2%

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