Senseonics (NYSE American: SENS) reported a third-quarter revenue beat, but its stock took a hit amid tightened full-year revenue guidance.
The Germantown, Maryland–based maker of implantable continuous glucose management systems lost $60.4 million, or 13¢ per share, off $4.6 million in revenue for the quarter ended Sept. 30, 2022. In contrast, Senseonics saw a profit of $42.9 million, or 8¢ per share, off revenue of $3.5 million during Q3 2021.
Wall Street analysts had expected a loss of 4¢ off $4.31 million in revenue during the quarter.
With its commercial partner Ascensia Diabetes Care, Senseonics has transitioned worldwide to its 180-day Eversense E3. The companies have launched a collaboration with the Nurse Practitioner Group (NPG) to broaden access to the device.
“Having launched the partnership with the Nurse Practitioner Group to expand access with in-home and in-office insertion options, we continue to work with Ascensia to execute and build the foundation for increased adoption of Eversense,” Senseonics CEO Tim Goodnow said in a news release.
Senseonics moves forward on a 365-day CGM
Next up, Senseonics has completed enrollment of a pivotal trial for a 365-day sensor configuration. The company also submitted an IDE for enrollment of a pediatric cohort.
Goodnow spoke of the achievement of key milestones in clinical and R&D programs. “We continue to advance our initiatives towards delivering the benefits of long-term implantable CGM to more patients.”
BTIG analysts think FDA approval of a 365-day implantable CGM could arrive sometime in mid-2024.
Senseonics tightening guidance
Senseonics now expects full-year revenue in the $15–17 million range. The previous guidance was $14–18 million. CFO Rick Sullivan cited the macroeconomic environment, including the present foreign exchange environment impacting European revenues. (Many U.S. companies have found a strong dollar affecting exports.)
Marie Thibault and Sam Eiber at BTIG kept their Neutral rating on SENS shares because of valuation concerns. At the same time, they also were upbeat about the company: “There were many positives we came away with this quarter — the early E3 traction in the U.S., broadening access and awareness for the technology, the diversity of customers joining the platform (over half of users have Type 2 diabetes), and advances in clinical trial development.”
Investors reacted by sending SENS shares down more than 11% to $1.06 apiece by midday trading today. Our sister site MassDevice‘s MedTech 100 Index, which includes stocks of the world’s largest medical device companies, was up slightly.
