Pulse Biosciences (PLSE) Q2 2024 earnings summary

Executive summary

• Advanced nano-PFA technology with strategic focus on soft tissue ablation, surgical epicardial ablation, and catheter-based endocardial ablation, including first U.S. and European procedures and expanded clinical studies.

• FDA 510(k) clearance received for the Percutaneous Electrode System; first U.S. cases completed at five sites.

• Leadership team expanded, including appointment of Paul LaViolette as Co-Chairman; headquarters relocated to Miami.

• $60 million rights offering completed in July 2024, with majority participation from the Executive Chairman, significantly strengthening liquidity.

• Company operates as a single segment, investing heavily in R&D and clinical development.

Financial highlights

• Cash and cash equivalents were $26.2 million as of June 30, 2024, not including $60 million from a July rights offering; pro forma cash at Q3 start is about $86 million.

• Q2 2024 cash used was $8.7 million, down from $10 million in Q2 2023 and $9.5 million in Q1 2024.

• Total GAAP costs and expenses were $11.7 million in Q2 2024; non-GAAP costs and expenses were $9.4 million, mainly due to increased headcount and stock-based compensation.

• Net loss for Q2 2024 was $11.4 million, compared to $9.9 million in Q2 2023; no revenue recognized in Q2 2024.

• Weighted average shares outstanding increased to 57.2 million in Q2 2024 from 46.1 million in Q2 2023.

Outlook and guidance

• Pivotal clinical trials for soft tissue ablation (benign thyroid nodules), surgical epicardial ablation, and catheter-based endocardial ablation are planned to commence in 2025.

• Cash on hand, including rights offering proceeds, expected to fund operations into 2026, excluding any warrant exercises.

• Management plans to raise additional capital in the future, with no assurance of terms or availability.