AtriCure (ATRC) Piper Sandler 36th Annual Healthcare Conference summary

Strategic technology integration and innovation

• Integrating ground-up PFA generator technology with existing RF devices, starting with clamp technology and expanding to other devices over time.

• First-in-human trials for the new PFA technology targeted for next year, with a long but defined clinical timeline.

• PFA investment aims to ensure leadership in atrial fibrillation treatment, especially as PFA becomes more prevalent on the endocardial side.

• Combining RF and PFA expertise to offer a comprehensive solution for customers.

• No plans to enter the endocardial business; focus remains on epicardial applications.

Product performance, competition, and market dynamics

• Clip franchise experienced accelerated growth due to increased competition, validating market size and product superiority.

• New Flex Mini device launched with a smaller profile, offering improved visualization and access, and receiving strong early feedback.

• Flex Mini commands a 20%-30% price premium over the most commonly sold open AtriClip, with potential for broader adoption over time.

• Most cardiac surgery centers in the U.S. use AtriClip, with many sites returning after trialing competitor products due to perceived superior quality and clinical evidence.

• New Encompass clamp introduced with a smaller footprint, driving growth in select areas without an ASP uplift.

Clinical guidelines, product adoption, and international trends

• European guidelines now recommend treating the appendage and ablation during surgery for AFib, with AtriClip evidence underpinning these changes.

• Updated hybrid guidelines in Europe now include high-level evidence, supporting broader adoption.