Tactile Systems (TCMD) 46th Annual William Blair Growth Stock Conference summary

Market opportunity and company positioning

• Operates in large, under-penetrated markets for chronic swelling, lymphatic dysfunction, and chronic inflammatory lung disease, with a $100 billion TAM and significant undiagnosed patient populations.

• Holds number one market position in all served categories, treating 95,000 patients and generating $330 million in revenue last year, with 76% gross margin and $45 million adjusted EBITDA.

• Invests in growth through product innovation, acquisitions, debt reduction, and stock buybacks, while maintaining strong cash flow.

Product innovation and differentiation

• Only manufacturer offering a full suite of head-to-toe compression therapy products, including basic and advanced pumps, and unique head and neck garments.

• Launched Nimbl, a portable, user-friendly basic pump, and plans to upgrade Flexitouch Plus advanced pump with new features in 2027.

• Strong clinical evidence supports product efficacy, with pneumatic compression therapies included in new U.S. clinical guidelines.

Patient access, education, and care continuum

• Major barriers to therapy include low disease awareness, complex diagnosis pathways, and payer-driven requirements for conservative therapy trials.

• Only about 10% of diagnosed lymphedema patients receive therapy, with significant delays and dropouts due to documentation and reimbursement hurdles.

• Investments in patient engagement tools like the Kylee app and streamlined order processes aim to improve adherence and speed to therapy.