AtriCure (ATRC) Canaccord Genuity 44th Annual Growth Conference & Private Company Showcase 2024 summary

Market opportunity and positioning

• Targeting large, under-penetrated multi-billion dollar markets in cardiac surgery, pain management, and hybrid AFib therapy.

• Holds number one global position in core segments, with 85% market share in open cardiac ablation and appendage management.

• Significant expansion potential exists, with current penetration at only 6% of the global cardiac surgery market.

• Hybrid therapy addresses complex AFib patients, representing a 3.5 million patient opportunity in the U.S. alone.

• Pain management business, launched in 2019, is only 20% penetrated and growing rapidly.

Product innovation and pipeline

• Nearly six new product launches are planned within an 18-month window to drive market access.

• FLEX Mini, a new generation AtriClip, received FDA clearance and is set for full launch in Q4, expected to boost volume and pricing.

• cryoSPHERE+ and upcoming cryoSPHERE MAX products reduce procedure time and are expected to further accelerate pain management growth.

• Encompass CE mark anticipated in Europe this year, with inventory and teams ready for rapid commercialization.

• International expansion, especially in China and Europe, is expected to drive multi-year growth as more products are introduced abroad.

Financial performance and outlook

• Consistent mid-teens revenue growth, with 15% projected for the current year despite recent guidance adjustment.

• Achieved $20 million adjusted EBITDA last year, guiding $26–$29 million for this year, and generated $8 million in cash in the most recent quarter.

• Cash flow positive in the latest quarter, with expectations to sustain and improve profitability in coming years.

• Open appendage management products grew 15.5% in Q1 and nearly 17% in Q2 in the U.S., despite new competition.

• Price uplifts expected with new product launches, such as a $200 increase for cryoSPHERE MAX.