Neuronetics (STIM) The 44th Annual William Blair Growth Stock Conference summary

Key business and growth initiatives

• New patient starts on the NeuroStar system have shown consistent growth from January to May, reaching a historical record last month.

• Consumable accounts, representing the per-click model, saw a 22% year-over-year increase in new patient starts.

• NeuroStar University training led to a 58% increase in treatment session utilization for attendees.

• The Better Me Provider Pilot, launched in January, expanded from 100 to 250 sites, improving patient response times and increasing new patient starts.

• The Better Me Provider Program reduced the average time from patient awareness to treatment from 82 days to 17 days.

Impact of Change Healthcare cyberattack

• 60% of surveyed NeuroStar accounts were impacted, mainly experiencing challenges with TMS reimbursement.

• Delayed reimbursements affected practice cash flow, but improvements in prior authorizations and patient starts are emerging.

• The backlog from the cyberattack is expected to resolve by Q3, with full recovery anticipated by the end of Q3.

Adolescent indication and market expansion

• NeuroStar received FDA clearance as an adjunct for treating major depressive disorder in adolescents aged 15-21, as a first-line option.

• 50% of customers treated adolescent patients in the past year; increased awareness and insurance support are expected to drive growth in this segment.

• A media event in May generated a 120% increase in Google searches and reached 1.5 million people.

• Recent NeuroStar Summit saw 20% adolescent-focused providers among attendees, with 50% of capital sales to this group.