EX-99.1 2 nari-ex99_1.htm EX-99.1 EX-99.1

 

Exhibit 99.1

img169044987_0.jpg 

 

Inari Medical Reports Third Quarter 2022 Financial Results

 

IRVINE, CALIFORNIA – November 2, 2022 (GLOBE NEWSWIRE) -- Inari Medical, Inc. (NASDAQ: NARI) (“Inari”), a medical device company with a mission to treat and transform the lives of patients suffering from venous and other diseases, today reported financial results for its third quarter ended September 30, 2022.

 

Third Quarter Revenue and Recent Business Highlights

•
Generated revenue of $96.2 million in the third quarter of 2022, up 32% over the same quarter last year.
•
Initiated full market release of two new products, Protrieve and InThrill. Both devices are priced outside of our per procedure pricing representing independent sources of revenue.
•
Presented three late breaking clinical trials at recent major medical conferences. Analyses of the full data sets of FLASH (800 PE patients) and CLOUT (500 DVT patients) confirm best in class safety and efficacy of FlowTriever and ClotTriever.
•
Ended the quarter with $319.2 million in cash, cash equivalents and short-term investments.

“Our aggressive investment in our growth drivers is paying off for our mission”, said Bill Hoffman, Chief Executive Officer of Inari Medical. “We launched two new products, our fifth and sixth of 2022, and presented three new data sets as late breaking clinical trials at major conferences. We continue to sense responsibility, not merely opportunity, for this work. I love so much that our team has committed to changing lives in the most beautiful ways.”

“We have committed to our patients and to big ideas, and I think you are seeing tangible results in the cadence of new product and data releases, as well as our overall performance”, continued Drew Hykes, Inari’s Chief Operating Officer and incoming CEO. “Our efforts continue to drive market expansion and uptake of our devices while further distancing Inari from both existing and future competition.”

 

Third Quarter 2022 Financial Results

Revenue was $96.2 million for the third quarter of 2022, compared to $72.9 million for the third quarter of 2021 and $92.7 million for the prior quarter. The increase over prior periods was driven primarily by continued U.S. commercial expansion, increased adoption of our procedures, and introduction of new products.

Gross profit was $85.1 million for the third quarter of 2022, compared to $65.9 million for the same period of 2021. Gross margin was 88.5% for the third quarter of 2022, compared to 90.3% for the same period in the prior year. The decrease in gross margin is primarily due to the addition of new products to our FlowTriever per procedure pricing model.

Operating expenses for the third quarter of 2022 were $94.9 million, compared to $68.6 million for the third quarter of 2021. The increase was mainly driven by personnel-related expenses as we increased headcount to fund the expansion of the commercial, research and development, clinical, and support organizations.

 

 

Net loss was $10.2 million for the third quarter of 2022 and net loss per share was $0.19 on a weighted-average basic and diluted share count of 53.5 million, compared to a net loss of $2.8 million and a net loss per share of $0.06 on a weighted-average basic and diluted share count of 50 million, in the same period of the prior year.

 

Full-Year 2022 Revenue Guidance

For the full year 2022, we are increasing our revenue guidance from our previous range of $360 million to $370 million to a range of $373 million to $375 million.

 

Webcast and Conference Call Information

Inari Medical will host a conference call to discuss the third quarter 2022 financial results after market close on Wednesday, November 2, 2022 at 1:30 p.m. Pacific Time / 4:30 p.m. Eastern Time. The conference call can be accessed live by registering here.

About Inari Medical, Inc.

Inari Medical, Inc. is a medical device company with a mission to treat and transform the lives of patients suffering from venous and other diseases. Our current product offering consists of two minimally invasive, novel catheter-based mechanical thrombectomy devices that are designed to remove large clots from large vessels and eliminate the need for thrombolytic drugs. The company purpose-built its products for the specific characteristics of the venous system and the treatment of the two distinct manifestations of venous thromboembolism, or VTE: deep vein thrombosis and pulmonary embolism. The ClotTriever system is 510(k)-cleared by FDA and CE marked for the non-surgical removal of clot from peripheral blood vessels, including for the use in the treatment of deep vein thrombosis. The FlowTriever system is 510(k)-cleared by FDA and CE marked for the non-surgical removal of clot from peripheral blood vessels, including for the use in the treatment of pulmonary embolism and clot in transit in the right atrium.

 

Forward Looking Statements

Statements in this press release may contain “forward-looking statements” that are subject to substantial risks and uncertainties. Forward-looking statements contained in this press release may be identified by the use of words such as “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “could,” “intend,” “target,” “project,” “contemplate,” “believe,” “estimate,” “predict,” “potential” or “continue” or the negative of these terms or other similar expressions. Forward-looking statements include estimated full year 2022 revenue, and are based on Inari’s current expectations, forecasts, and assumptions, are subject to inherent uncertainties, risks and assumptions that are difficult to predict, and actual outcomes and results could differ materially due to a number of factors. These and other risks and uncertainties include those described more fully in the section titled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operation” and elsewhere in its Annual Report on Form 10-K for the period ended December 31, 2021, and in its other reports filed with the U.S. Securities and Exchange Commission. Forward-looking statements contained in this announcement are based on information available to Inari as of the date hereof and are made only as of the date of this release. Inari undertakes no obligation to update such information except as required under applicable law. These forward-looking statements should not be relied upon as representing Inari’s views as of any date subsequent to the date of this press release. In light of the foregoing, investors are urged not to rely on any forward-looking statement in reaching any conclusion or making any investment decision about any securities of Inari.

 

 

 

Investor Contact:

ICR Westwicke

Caroline Corner

Phone +1-415-202-5678

caroline.corner@westwicke.com

 

 

Inari Medical, Inc.

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

(in thousands, except share and per share data)

(unaudited)

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

96,204

 

 

$

72,916

 

 

$

275,700

 

 

$

193,766

 

Cost of goods sold

 

 

11,064

 

 

 

7,040

 

 

 

31,378

 

 

 

16,477

 

Gross profit

 

 

85,140

 

 

 

65,876

 

 

 

244,322

 

 

 

177,289

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

 

19,105

 

 

 

12,499

 

 

 

53,809

 

 

 

32,292

 

Selling, general and administrative

 

 

75,833

 

 

 

56,104

 

 

 

212,721

 

 

 

135,899

 

Total operating expenses

 

 

94,938

 

 

 

68,603

 

 

 

266,530

 

 

 

168,191

 

(Loss) income from operations

 

 

(9,798

)

 

 

(2,727

)

 

 

(22,208

)

 

 

9,098

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

618

 

 

 

27

 

 

 

882

 

 

 

130

 

Interest expense

 

 

(74

)

 

 

(73

)

 

 

(220

)

 

 

(220

)

Other income (expense)

 

 

(59

)

 

 

30

 

 

 

169

 

 

 

(4

)

Total other income (expenses)

 

 

485

 

 

 

(16

)

 

 

831

 

 

 

(94

)

(Loss) income before income taxes

 

 

(9,313

)

 

 

(2,743

)

 

 

(21,377

)

 

 

9,004

 

Provision for income taxes

 

 

840

 

 

 

61

 

 

 

2,092

 

 

 

271

 

Net (loss) income

 

$

(10,153

)

 

$

(2,804

)

 

$

(23,469

)

 

$

8,733

 

Other comprehensive income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation adjustments

 

 

(406

)

 

 

(146

)

 

 

(814

)

 

 

(269

)

Unrealized gain on available-for-sale debt
   securities

 

 

644

 

 

 

7

 

 

 

271

 

 

 

19

 

Total other comprehensive income (loss)

 

 

238

 

 

 

(139

)

 

 

(543

)

 

 

(250

)

Comprehensive (loss) income

 

$

(9,915

)

 

$

(2,943

)

 

$

(24,012

)

 

$

8,483

 

Net (loss) income per share

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.19

)

 

$

(0.06

)

 

$

(0.45

)

 

$

0.18

 

Diluted

 

$

(0.19

)

 

$

(0.06

)

 

$

(0.45

)

 

$

0.16

 

Weighted average common shares used to compute
   net (loss) income per share

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

53,491,625

 

 

 

50,001,996

 

 

 

52,552,662

 

 

 

49,664,037

 

Diluted

 

 

53,491,625

 

 

 

50,001,996

 

 

 

52,552,662

 

 

 

55,511,061

 

 

 

 

 

Inari Medical, Inc.

Condensed Consolidated Balance Sheets

(in thousands, except share data)

(unaudited)

 

 

 

September 30,
2022

 

 

December 31,
2021

 

Assets

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

Cash and cash equivalents

 

$

83,528

 

 

$

92,752

 

Short-term investments in debt securities

 

 

235,705

 

 

 

83,348

 

Accounts receivable, net

 

 

54,059

 

 

 

42,351

 

Inventories, net

 

 

29,670

 

 

 

21,053

 

Prepaid expenses and other current assets

 

 

7,609

 

 

 

5,694

 

Total current assets

 

 

410,571

 

 

 

245,198

 

Property and equipment, net

 

 

21,191

 

 

 

16,471

 

Operating lease right-of-use assets

 

 

49,951

 

 

 

44,909

 

Deposits and other assets

 

 

6,106

 

 

 

981

 

Long-term investments in debt securities

 

 

—

 

 

 

3,983

 

Total assets

 

$

487,819

 

 

$

311,542

 

Liabilities and Stockholders' Equity

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

Accounts payable

 

$

6,035

 

 

$

6,541

 

Payroll-related accruals

 

 

28,052

 

 

 

24,433

 

Accrued expenses and other current liabilities

 

 

7,668

 

 

 

10,737

 

Operating lease liabilities, current portion

 

 

588

 

 

 

802

 

Total current liabilities

 

 

42,343

 

 

 

42,513

 

Operating lease liabilities, noncurrent portion

 

 

30,377

 

 

 

28,404

 

Other long-term liability

 

 

—

 

 

 

1,416

 

Total liabilities

 

 

72,720

 

 

 

72,333

 

Commitments and contingencies

 

 

 

 

 

 

Stockholders' equity

 

 

 

 

 

 

Preferred stock, $0.001 par value, 10,000,000 shares authorized,
   no shares issued and outstanding as of September 30, 2022 and
   December 31, 2021

 

 

—

 

 

 

—

 

Common stock, $0.001 par value, 300,000,000 shares authorized as of
   September 30, 2022 and December 31, 2021; 53,595,277 and
   50,313,452 shares issued and outstanding as of September 30, 2022
   and December 31, 2021, respectively

 

 

53

 

 

 

50

 

Additional paid in capital

 

 

457,043

 

 

 

257,144

 

Accumulated other comprehensive loss

 

 

(945

)

 

 

(402

)

Accumulated deficit

 

 

(41,052

)

 

 

(17,583

)

Total stockholders' equity

 

 

415,099

 

 

 

239,209

 

Total liabilities and stockholders' equity

 

$

487,819

 

 

$

311,542