NEWTOWN, Pa., April 10, 2025 (GLOBE NEWSWIRE) -- Edelson Lechtzin LLP, a national class action law firm, is investigating claims regarding data privacy violations at Nevro Corp. (“Nevro”). Nevro learned of suspicious activity on its network on or about December 1, 2024. To join this case, go HERE. About Nevro Corp. Based in Redwood City, California, Nevro is a medical device company known for its HFX spinal cord stimulation (SCS) platform. What happened? On or around December 1, 2024, Nevro detected suspic ...

OKLAHOMA CITY, April 03, 2025 (GLOBE NEWSWIRE) -- Nevro Corp. investigated by Federman & Sherwood for data breach. On April 3, 2025, Nevro Corp. filed notice of a data breach with the Attorney General of Texas. Nevro Corp. has yet to release a statement regarding the incident. According to the notice filed with the Attorney General of Texas approximately 6,381 Texans have been affected. The type of information potentially exposed includes: Full NameSocial Security NumberDriver’s License NumberFinancial Info ...

It has been about a month since the last earnings report for Nevro (NVRO) . Shares have added about 0.9% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Nevro due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.How Have Estimates Been Moving Since Then?It turns out, esti ...

Nevro Corp. (NVRO) reported a loss per share of 64 cents in the fourth quarter of 2024, wider than the year-ago quarter’s loss of 15 cents. The Zacks Consensus Estimate is pegged at a loss per share of 79 cents.Revenues in DetailNevro registered worldwide revenues of $105.5 million in the fourth quarter, down 9.1% year over year on a reported basis and 9.2% on a constant-currency basis. However, the figure topped the Zacks Consensus Estimate by 1.5%.Quarterly HighlightsIn the quarter under review, internati ...

Nevro (NVRO) came out with a quarterly loss of $0.64 per share versus the Zacks Consensus Estimate of a loss of $0.79. This compares to loss of $0.15 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 18.99%. A quarter ago, it was expected that this maker of an electrical implant that treats leg and back pain would post a loss of $0.82 per share when it actually produced a loss of $0.51, delivering a surprise of 37.80%.Over the l ...

Market Acceptance and Competition - The company is dependent on continued market acceptance in the United States for its 10 kHz Therapy, and failure to gain such acceptance would negatively impact its business [216]. - The company faces significant competition from established players like Medtronic, Boston Scientific, and Abbott Laboratories, which have launched new SCS systems and have greater resources [227]. - The company has experienced challenges in differentiating its products from competitors, which may hinder its ability to capture market share [220]. - The introduction of new, more effective, or less expensive competing products could adversely impact the company's business [226]. - The company must effectively educate physicians on the benefits and proper use of its 10 kHz Therapy to drive market acceptance and sales growth [221]. - The company may face challenges in educating physicians and hospitals about the benefits of its products, which could hinder market acceptance [218]. Financial Performance and Profitability - The company has a history of significant losses and must achieve and sustain profitability to avoid further financial deterioration [200]. - The company incurred net losses of $113.4 million and $92.2 million for the years ended December 31, 2024 and 2023, respectively, with an accumulated deficit of $812.8 million as of December 31, 2024 [231]. - The company must reduce the per unit manufacturing cost of its products to achieve profitability, which is dependent on increasing component purchase volumes and improving manufacturing efficiency [232]. - The company anticipates substantial cash expenditures for commercialization efforts, regulatory approvals, and potential acquisitions, which may require additional funding in the future [318]. - Future cash requirements may differ significantly from current estimates, influenced by costs associated with product commercialization, R&D activities, and potential acquisitions [320]. - The company may seek additional funds through borrowings or equity offerings, which could result in dilution for existing shareholders [321]. Regulatory and Compliance Risks - The company is subject to extensive governmental regulation, and failure to comply could adversely affect its business operations [206]. - The company faces significant risks related to compliance with various international laws and regulations, including anti-bribery laws and export controls [261]. - Regulatory changes could lead to unexpected costs and restrictions on operations, affecting financial performance [253]. - The company must maintain compliance with EU and UK regulations to continue selling products like Senza in these regions [347]. - Non-compliance with EU regulations could prevent the company from selling products in the EU and EEA [343]. - The company is required to report malfunctions, deaths, and serious injuries associated with its products, which may lead to voluntary corrective actions or agency enforcement actions [359]. Intellectual Property and Legal Challenges - The company is involved in ongoing lawsuits related to intellectual property disputes, which could divert resources and impact commercialization efforts [200]. - The company faces risks related to securing and maintaining patent protection, which is critical for competitive advantage [241]. - Ongoing and future lawsuits to protect intellectual property may divert resources and hinder sales growth [240]. - The company may need to enter cross-license agreements with competitors, potentially compromising the value of its intellectual property [249]. - The company may face significant risks related to patent litigation, which could result in substantial legal expenses and potential damages, including treble damages for willful infringement [303]. - Intellectual property disputes could divert significant resources and hinder the commercialization of existing or future products [299]. Operational and Management Challenges - The company must attract and retain qualified sales personnel to achieve expected revenue growth, facing competition in hiring [250]. - The company may face challenges in managing anticipated growth, including manufacturing yields, quality control, and personnel shortages [274]. - The company faces potential sales decreases if access to hospital facilities is not secured through lengthy purchasing contracts in the U.S. and EU [279]. - The reliance on a small group of third-party distributors for product marketing and sales may limit resources dedicated to the company's products, impacting revenue [280]. - The company must navigate potential penalties for non-compliance with regulatory obligations, which could significantly impact its operations [261]. Market and Economic Factors - The global market for spinal cord stimulation (SCS) therapy was estimated at approximately $2.4 billion in 2023, with the United States comprising about 80% of this market [223]. - The company's operating results may fluctuate significantly due to various factors, including macroeconomic conditions and competition, potentially impacting stock price [316]. - Legislative changes, such as the ACA, have led to reductions in Medicare payments, which could impact demand for the company's products [379]. - The company faces risks associated with currency fluctuations, particularly with revenues and expenses denominated in Euros, British Pounds, and Australian Dollars [325]. Product Development and Commercialization - Clinical studies are essential for regulatory approvals, and failure to produce necessary results could hinder commercialization of new products [282]. - The company emphasizes the importance of developing a pipeline for chronic pain treatment products, which is crucial for future success [382]. - The company must educate healthcare professionals and patients on new therapies to ensure successful commercialization, which may take years [292]. - The company faces risks related to the timely development and market acceptance of new products and enhancements, which could impact operational results [383]. Debt and Financial Covenants - The company must maintain at least $300 million in trailing twelve-month revenue as a financial covenant under the Braidwell Credit Agreement [393]. - The Braidwell Credit Agreement includes restrictions on incurring additional debt, making acquisitions, and other financial activities, which could limit operational flexibility [393]. - There is a risk of default on debt obligations if the company fails to meet financial covenants or maintain sufficient liquidity [394]. - The company may incur additional debt in the future, which could intensify existing financial risks [395].

Financial Results Announcement - Nevro Corp. announced preliminary unaudited revenue for Q4 2024 and full year ended December 31, 2024[6] - The press release detailing the financial results was issued on January 13, 2025[6] - The report does not include specific revenue figures or percentage changes in performance[6]

Core Insights - Nevro Corp. reported its fourth-quarter and full-year 2024 financial results, highlighting a focus on restructuring and collaboration with Globus Medical to enhance chronic pain treatment solutions [2][9]. Financial Performance - Fourth-quarter 2024 worldwide revenue was $105.5 million, a decrease of 9.1% from $116.2 million in Q4 2023 [4]. - U.S. revenue for Q4 2024 was $91.4 million, down 9.9% from $101.5 million in the same period last year [5]. - International revenue in Q4 2024 was $14.1 million, a decrease of 3.8% compared to $14.7 million in Q4 2023 [6]. - Gross profit for Q4 2024 was $65.9 million, with a gross margin of 62.5%, down from $81.5 million and 70.1% in Q4 2023 [6]. - Operating expenses for Q4 2024 were $117.3 million, including a $38.2 million goodwill impairment charge [7]. - Net loss from operations for Q4 2024 was $51.4 million, compared to a loss of $11.8 million in Q4 2023 [8]. - Adjusted EBITDA for Q4 2024 was negative $5.2 million, down from positive $8.4 million in Q4 2023 [10]. Full-Year Results - Full-year 2024 worldwide revenue was $408.5 million, a decrease of 3.9% from $425.2 million in 2023 [12]. - U.S. revenue for 2024 was approximately $353.1 million, down 3.7% from $366.6 million in 2023 [12]. - International revenue for 2024 was $55.4 million, a decrease of 5.4% compared to $58.6 million in the prior year [13]. - Gross profit for 2024 was $269.5 million, with a gross margin of 66.0%, down from $290.1 million and 68.2% in 2023 [14]. - Net loss from operations for 2024 was $126.2 million, compared to a loss of $99.3 million in 2023 [14]. - Full-year 2024 adjusted EBITDA was negative $13.6 million, an improvement from negative $17.7 million in 2023 [14]. Strategic Developments - Nevro and Globus Medical announced a definitive agreement for Globus Medical to acquire all shares of Nevro for approximately $250 million, expected to close in Q2 2025 [9]. - The company launched the full market release of HFX iQ™ with HFX AdaptivAI™ in November 2024, aimed at enhancing pain management [9]. - New data published in the Journal of Pain Research indicated significant pain relief and reductions in hemoglobin A1c and weight for patients receiving Nevro's therapy [9].

Core Points - The Ademi Firm is investigating Nevro for potential breaches of fiduciary duty and other legal violations related to its transaction with Globus Medical [1] - Nevro stockholders are set to receive $5.85 per share, amounting to a total equity value of approximately $250 million [2] - The transaction agreement imposes significant penalties on Nevro for accepting competing bids, raising concerns about the board's fulfillment of fiduciary duties to shareholders [3]

Core Viewpoint - Wall Street anticipates a year-over-year decline in Nevro's earnings due to lower revenues, with a focus on how actual results will compare to estimates impacting stock price [1][2]. Earnings Expectations - Nevro is expected to report a quarterly loss of $0.79 per share, reflecting a significant year-over-year decline of 426.7% [3]. - Revenue projections stand at $104 million, indicating a decrease of 10.5% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 1.19% higher in the last 30 days, suggesting a slight bullish sentiment among analysts [4]. - The Zacks Earnings ESP model indicates that the Most Accurate Estimate is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +1.62% [10][11]. Earnings Surprise Prediction - A positive Earnings ESP is a strong indicator of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3, which historically leads to a positive surprise nearly 70% of the time [8]. - Nevro's recent surprise history shows it has beaten consensus EPS estimates in the last four quarters, including a +37.80% surprise in the last reported quarter [12][13]. Conclusion - Nevro is positioned as a compelling candidate for an earnings beat, but investors should consider other influencing factors before making investment decisions [16].