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Sep 30, 2024

Neuropace Q3 2024 Earnings Report

NeuroPace's Q3 2024 performance was marked by record revenue and reduced cash burn.

Key Takeaways

NeuroPace reported a 28% year-over-year increase in revenue to $21.1 million in Q3 2024. The company also demonstrated operating discipline by decreasing cash burn. Increased full-year 2024 revenue guidance to $78 million to $80 million.

Reported record revenue of $21.1 million in Q3 2024, a 28% increase compared to Q3 2023.

Achieved a strong gross margin of 73.2%.

Decreased cash burn to $1.8 million in Q3 2024.

Raised $2.9 million in net cash proceeds under the ATM offering program, increasing cash and short-term investments to $56.8 million.

Total Revenue
$21.1M
Previous year: $16.4M
+28.2%
EPS
-$0.19
Previous year: -$0.28
-32.1%
Gross Profit Margin
73.2%
Previous year: 74.5%
-1.7%
Gross Profit
$15.4M
Previous year: $12.2M
+26.1%
Cash and Equivalents
$15.4M
Previous year: $9.72M
+58.7%
Free Cash Flow
-$1.82M
Previous year: -$2.31M
-21.1%
Total Assets
$96.3M
Previous year: $99.3M
-3.0%

Neuropace

Neuropace

Forward Guidance

NeuroPace expects revenue growth to be primarily driven by increasing sales of its RNS System, supported by higher sales of DIXI Medical stereo EEG products. Total revenue to range between $78 million and $80 million, representing growth of 19% to 22% over 2023. Gross margin to range between 72% and 74%. Total operating expenses to range between $80 million and $84 million, including approximately $10 million in stock-based compensation, a noncash expense

Positive Outlook

  • Increasing sales of RNS System.
  • Higher sales of DIXI Medical stereo EEG products.
  • Total revenue to range between $78 million and $80 million, representing growth of 19% to 22% over 2023.
  • Gross margin to range between 72% and 74%.
  • Total operating expenses to range between $80 million and $84 million, including approximately $10 million in stock-based compensation, a noncash expense