Senseonics Holdings, Inc. Q2 FY2025 earnings call

• Drove Eversense awareness and adoption with added commercial investment, seeing new patient starts up 79% YoY and leads more than doubled YoY.
• Enhanced 365 access with Eon Care build-out, with the network nearly 40 strong and aiming to reach 50 by year-end and 100 by next year.
• Expanded device integration efforts, collaborating with Sequel for Eversense 365 integration with their twiist pump.
• Advanced product development pipeline with Gemini (self-powered, swipe and prospective CGM) and Freedom (invisible CGM) programs.
• CMS updated Medicare physician fee schedule to provide payment for a full year of Eversense, boosting consignment program business.
• Raised approximately $78 million in gross proceeds, including $20 million from Abbott.

In the second quarter of 2025, net revenue grew 37% to $6.6 million compared to the prior year period. U.S. revenue was $4.9 million and revenue outside the U.S. was $1.7 million. The consignment channel made up over 40% of revenue in Q2. Gross profit was $3.1 million, an increase from the prior year period. Research and development expenses decreased by $3.1 million, while selling, general and administrative expenses increased by $0.7 million. Net loss was $14.5 million, a decrease from the prior year's net loss.

• Full year 2025 global net revenue expected to be approximately $34 million to $38 million.
• Full year gross profit margins expected between 32.5% and 37.5%.
• Expect cash utilization in 2025 to be approximately $60 million.
• Considering shareholder feedback, planning to seek approval for a reverse stock split in the near future.

Q: Josh Jennings of TD Cowen asked about retention rates for Eversense 365 and consignment channel percentage of revenue.

A: Timothy T. Goodnow said retention rates historically around 75% from sensor 1 to 2, and Frederick T. Sullivan mentioned consignment channel percentage will increase but not as dramatically in future quarters.

Q: Ben Haynor of Lake Street Capital Markets followed up on retention rates and mix of diabetics.

A: Timothy T. Goodnow said retention rates consistent, and most patients now type 2 on basal insulin.

Q: Sean Lee of H.C. Wainwright asked about commercialization with Sequel's twiist and Gemini study design.

A: Timothy T. Goodnow said co-marketing planned with Sequel, and Mukul Jain explained Gemini study will evaluate new features with bedside monitoring of accuracy.

Q: Anthony Petrone of Mizuho Group asked about CMS competitive bidding and Eon Care provider transition.

A: Timothy T. Goodnow said Eversense is outside competitive bidding as it's a medical benefit, and Eon Care network aims to reach 50 by year-end and 100 by next year.