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Mar 31, 2021

Nevro Q1 2021 Earnings Report

Nevro's financial performance for Q1 2021 was reported, with revenue showing a slight increase and updated guidance provided for the full year.

Key Takeaways

Nevro reported a 1% increase in worldwide revenue for Q1 2021 compared to the previous year, reaching $88.6 million. The company updated its full-year revenue guidance to $440 million to $450 million and non-GAAP adjusted EBITDA guidance to $5 million to $15 million.

Worldwide revenue increased by 1% year-over-year to $88.6 million.

U.S. revenue decreased slightly by 1% year-over-year to $74.7 million.

Net loss from operations improved by 2% year-over-year to $22.5 million.

Full year 2021 revenue guidance updated to $440 million to $450 million.

Total Revenue
$88.6M
Previous year: $87.5M
+1.3%
EPS
-$0.85
Previous year: -$0.78
+9.0%
Gross Profit
$62.3M
Previous year: $60.5M
+2.9%
Cash and Equivalents
$86.5M
Previous year: $136M
-36.5%

Nevro

Nevro

Forward Guidance

Nevro anticipates second quarter 2021 worldwide revenue of approximately $104 million to $106 million and full year 2021 worldwide revenue of approximately $440 million to $450 million. The company expects second quarter of 2021 non-GAAP adjusted EBITDA to be approximately negative $2 million to negative $4 million and updates its full year 2021 non-GAAP adjusted EBITDA to be in the range of $5 million to $15 million.

Positive Outlook

  • Decreasing COVID headwinds
  • More normalized case scheduling
  • More normalized elective procedure levels beginning in the second quarter of 2021
  • FDA approval of PDN at the beginning of the third quarter of 2021
  • Mid-single digit million revenue contribution from PDN in 2021

Challenges Ahead

  • Guidance is highly sensitive to the company’s COVID recovery assumptions
  • Ongoing and steady recovery in the U.S. and key international geographies leading to more normalized case scheduling and elective procedure levels beginning in the second quarter of 2021
  • Impact from COVID will diminish with each sequential quarter this year as vaccine availability improves
  • Patients begin to again seek elective care at typical levels
  • Company may need to change or withdraw this guidance in the future if these assumptions differ from the actual pace of COVID recovery and its impact on the company’s markets