Core Insights - PROCEPT BioRobotics Corporation reported a total revenue of $53.4 million for Q2 2024, marking a 61% increase compared to Q2 2023 [2][3] - The company achieved record gross margins of 59% and improved operational efficiencies, reflecting strong performance across all business segments [2][4] Financial Performance - Total revenue for Q2 2024 was $53.4 million, up 61% from $33.1 million in Q2 2023 [3][21] - U.S. revenue reached $47.7 million, a 59% increase year-over-year, driven by higher system sales and consumable revenue [3][21] - U.S. handpiece and consumable revenue was $27.3 million, representing a 101% increase compared to the prior year [2][3] - International revenue was $5.7 million, reflecting a 79% increase from the previous year [2][3] Operational Highlights - The company sold 47 robotic systems in the U.S. during Q2 2024 [2] - U.S. system and rental revenue was $17.8 million, a 20% increase compared to the prior year [2][3] - Monthly utilization per account in the U.S. increased by approximately 15% year-over-year [3] Guidance and Projections - The company raised its full-year 2024 revenue guidance to approximately $217 million, representing a 59% growth over the previous year [7] - Full-year 2024 gross margin is projected to be around 59%, an improvement from previous guidance [7] - Total operating expenses for 2024 are expected to be approximately $231.5 million, unchanged from prior guidance [8] Loss and Cash Flow - The net loss for Q2 2024 was $25.6 million, slightly higher than the loss of $25.3 million in Q2 2023 [5] - Adjusted EBITDA for Q2 2024 was a loss of $18.0 million, an improvement from a loss of $19.9 million in the prior year [5][17] - Cash and short-term investments totaled $214.1 million as of June 30, 2024, with cash usage in Q2 significantly improved to $11.5 million from $31.6 million in Q1 2024 [6]

Investors interested in listening to the conference call may do so by following one of the below links: Dial-in registration for sell-side research analysts: https://register.vevent.com/register/BI7bf6aa315a2b44d6a070a16b6608b822 An archived recording will be available on the "Investors" section of the Company's website at: https://ir.procept-biorobotics.com. Each webcast will be available for replay for at least 90 days after the event. PROCEPT BioRobotics is a surgical robotics company focused on advancin ...

Company Update - PROCEPT BioRobotics announced that the American Medical Association (AMA) has established a new Current Procedural Terminology (CPT) Category I code for Aquablation therapy, a treatment for benign prostatic hyperplasia (BPH) [1] - The new Category I code will replace the existing Category III code starting January 1, 2026, with hospitals and physicians continuing to use the Category III code (0421T) until then [7] Product and Technology - Aquablation therapy is the first and only ultrasound-guided, robotic-assisted, heat-free waterjet treatment for BPH, offering personalized treatment planning and precise tissue removal while preserving key anatomical functions [2] - The AquaBeam Robotic System, developed by PROCEPT BioRobotics, is an advanced, image-guided surgical robotic system designed for minimally invasive urologic surgery, specifically targeting BPH [4] Market and Clinical Evidence - BPH affects approximately 40 million men in the United States, making it the most common prostate disease [4] - PROCEPT BioRobotics has developed a significant body of clinical evidence, including nine clinical studies and over 150 peer-reviewed publications, supporting the benefits and clinical advantages of Aquablation therapy [4] Leadership and Industry Support - Reza Zadno, CEO of PROCEPT BioRobotics, expressed appreciation for the support and guidance provided by the American Urological Association during the CPT code approval process [2]

SAN JOSE, Calif., June 03, 2024 (GLOBE NEWSWIRE) -- PROCEPT BioRobotics® (Nasdaq: PRCT) (the "Company"), a surgical robotics company focused on advancing patient care by developing transformative solutions in urology, today announced that members of management will present at the upcoming 2024 Truist Securities MedTech Conference in Boston, Massachusetts. Management is scheduled to present on Tuesday, June 18 at 1:20 p.m. Eastern Time. A live webcast of each event, as well as an archived recording, will be ...

[Part I. Financial Information](index=4&type=section&id=Part%20I.%20Financial%20Information) [Item 1. Condensed Consolidated Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements%20(unaudited)) Unaudited Q1 2024 financial statements show revenue growth to $44.5 million, a narrowed net loss of $26.0 million, and total assets of $382.9 million [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet as of March 31, 2024, shows a decrease in total assets to $382.9 million, driven by reduced cash, alongside lower liabilities and equity Balance Sheet Summary | Balance Sheet Item | March 31, 2024 (in thousands) | December 31, 2023 (in thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | $225,576 | $257,222 | | Total current assets | $329,186 | $350,530 | | Total assets | $382,900 | $404,738 | | Total current liabilities | $38,650 | $45,922 | | Total liabilities | $118,853 | $123,986 | | Total stockholders' equity | $264,047 | $280,752 | [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) For Q1 2024, revenue grew 83% to $44.5 million, gross profit doubled, and net loss narrowed to $26.0 million despite increased operating expenses Operations and Comprehensive Loss Summary | Metric | Q1 2024 (in thousands) | Q1 2023 (in thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | $44,539 | $24,404 | +83% | | Gross Profit | $25,034 | $12,491 | +100% | | Loss from Operations | ($27,649) | ($28,377) | -3% | | Net Loss | ($25,957) | ($28,484) | -9% | | Net Loss Per Share | ($0.51) | ($0.63) | N/A | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash flow statements show $32.3 million used in operating activities for Q1 2024, an improvement from the prior year, resulting in a net cash decrease of $31.6 million Cash Flow Summary | Cash Flow Activity | Q1 2024 (in thousands) | Q1 2023 (in thousands) | | :--- | :--- | :--- | | Net cash used in operating activities | ($32,286) | ($35,928) | | Net cash used in investing activities | ($1,946) | ($5,339) | | Net cash provided by financing activities | $2,586 | $380 | | **Net decrease in cash** | **($31,646)** | **($40,887)** | [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes to financial statements detail the company's surgical robotics business, disaggregated revenue showing strong U.S. growth, and key financial arrangements including a $52.0 million term loan - The company develops, manufactures, and sells the AquaBeam Robotic System for use in minimally invasive urologic surgery, with an initial focus on treating benign prostatic hyperplasia (BPH)[23](index=23&type=chunk) Revenue by Type | Revenue by Type (in thousands) | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | System sales and rentals | $15,976 | $10,239 | | Handpieces and other consumables | $25,961 | $12,676 | | Service | $2,602 | $1,489 | | **Total Revenue** | **$44,539** | **$24,404** | - Revenue from the United States accounted for **90%** of total revenue in Q1 2024, up from **89%** in Q1 2023[51](index=51&type=chunk)[53](index=53&type=chunk) - The company has a **$52.0 million** senior secured term loan facility with CIBC, which matures in October 2027[36](index=36&type=chunk)[88](index=88&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=15&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management's discussion highlights 83% revenue growth driven by increased system sales and utilization, improved gross margin, and sufficient cash to fund operations for the next twelve months - As of March 31, 2024, the company had an installed base of **462** AquaBeam Robotic Systems globally, with **354** in the United States[60](index=60&type=chunk)[65](index=65&type=chunk) - Revenue growth was primarily driven by an **$18.4 million** increase in revenue from the United States, due to higher sales volumes of systems, handpieces, and service contracts[76](index=76&type=chunk) - Gross margin increased to **56%** from **51%** in the prior year, mainly because fixed manufacturing overhead costs were spread over more production units, along with higher average selling prices[78](index=78&type=chunk)[79](index=79&type=chunk) - The company believes its existing cash and cash equivalents of **$225.6 million**, along with anticipated revenue, will be sufficient to fund operations for at least the next twelve months[84](index=84&type=chunk)[86](index=86&type=chunk) [Item 3. Quantitative and Qualitative Disclosure About Market Risk](index=23&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosure%20About%20Market%20Risk) The company's market risks include interest rate, credit, and foreign currency exposures, primarily from its variable-rate debt and Euro-denominated transactions, which management deems immaterial - The company is exposed to interest rate risk from its variable-rate loan facility, which bears interest based on the secured overnight financing rate (SOFR)[103](index=103&type=chunk) - Foreign currency risk is primarily from transactions denominated in Euros. The company does not currently hedge this exposure[106](index=106&type=chunk)[107](index=107&type=chunk) - Management does not believe that a hypothetical **10%** change in currency rates or a **100 basis point** change in interest rates would have a material impact on its financial statements[103](index=103&type=chunk)[106](index=106&type=chunk) [Item 4. Controls and Procedures](index=24&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of March 31, 2024, with no material changes to internal control over financial reporting during the quarter - Based on an evaluation as of the end of the period, the Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were **effective**[109](index=109&type=chunk) - There were **no changes** in internal control over financial reporting during the quarter ended March 31, 2024, that have materially affected, or are reasonably likely to materially affect, internal controls[111](index=111&type=chunk) [Part II. Other Information](index=25&type=section&id=Part%20II.%20Other%20Information) [Item 1. Legal Proceedings](index=25&type=section&id=Item%201.%20Legal%20Proceedings) The company reports no material legal proceedings are currently underway - The company is **not subject** to any material legal proceedings[113](index=113&type=chunk) [Item 1A. Risk Factors](index=25&type=section&id=Item%201A.%20Risk%20Factors) No material changes to previously disclosed risk factors were reported during the quarter, directing investors to the latest Annual Report on Form 10-K - There were **no material changes** to the company's previously disclosed risk factors during the three months ended March 31, 2024[114](index=114&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=25&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reports no unregistered sales of equity securities or use of proceeds during the period - None reported for the period[116](index=116&type=chunk) [Item 5. Other Information](index=25&type=section&id=Item%205.%20Other%20Information) The Board Chair, Frederic Moll, M.D., terminated a pre-arranged Rule 10b5-1 stock sale plan on February 29, 2024 - On February 29, 2024, the Board Chair, Frederic Moll, M.D., terminated a pre-arranged Rule 10b5-1 stock sale plan[119](index=119&type=chunk) [Item 6. Exhibits](index=26&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including required Sarbanes-Oxley certifications - Lists exhibits filed with the report, including Sarbanes-Oxley certifications and Inline XBRL documents[121](index=121&type=chunk)

Financial Data and Key Metrics Changes - Total revenue for Q1 2024 was $44.5 million, representing an 83% increase compared to Q1 2023 [17] - US revenue for the quarter was $40.2 million, reflecting an 85% growth year-over-year [56] - Net loss for Q1 2024 was $26 million, an improvement from a loss of $28.5 million in the same period last year [30] - Adjusted EBITDA loss was $20.4 million, compared to a loss of $23.9 million in Q1 2023 [30] - Gross margin for Q1 2024 was 56.2%, the highest ever, and 120 basis points above the high end of guidance [59] Business Line Data and Key Metrics Changes - Sold 38 AQUABEAM Robotics Systems in Q1 2024, generating US system revenue of $14.2 million, a 62% increase compared to Q1 2023 [56] - US handpiece and consumable revenue for Q1 2024 was $23.6 million, representing a 101% growth year-over-year [57] - Monthly utilization of handpieces per account increased approximately 7% compared to Q1 2023 [27] Market Data and Key Metrics Changes - International revenue for Q1 2024 was $4.3 million, a 65% increase compared to the prior year [20] - The US install base of AQUABEAM systems reached 354, with a target market of 2,700 hospitals performing BPH surgeries [5] Company Strategy and Development Direction - The company aims to establish Aquablation therapy as the standard of care for BPH surgery, focusing on penetrating BPH hospitals and partnering with urologists [48] - Plans to invest further in the UK market to accelerate growth and expand patient awareness [8] - The strategic accounts team is focused on improving sales efficiencies and utilization at targeted IDNs [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the stability and improvement of the hospital CapEx environment, leading to more proactive discussions with hospital CFOs [18] - The company anticipates continued growth in utilization and system placements, with expectations for a strong Q4 2024 [37][116] - Management highlighted the importance of clinical data and surgeon engagement in driving adoption of Aquablation therapy [54] Other Important Information - The company expects full-year 2024 total revenue to be approximately $213.5 million, representing a 57% growth compared to 2023 [61] - Operating expenses for 2024 are expected to be approximately $231.5 million, reflecting a 29% growth [63] Q&A Session Summary Question: Can you provide more color on utilization and its expected acceleration throughout the year? - Management noted a 7% year-over-year increase in monthly utilization and highlighted metrics indicating strong confidence in continued sequential improvement [68] Question: What is the strategy for pursuing ASC opportunities? - The company is using 2024 as a pilot year for ASC placements, leveraging existing sales force capabilities without needing to hire additional personnel [42] Question: How does the strategic accounts team impact funnel conversion and pricing visibility? - The strategic accounts team has improved visibility into the sales funnel and has facilitated corporate-level purchases from IDNs, enhancing the likelihood of future sales [86] Question: What are the expectations for gross margin sustainability and improvement? - Management indicated that gross margin improvements are expected to continue, with Q4 2024 margins projected to exceed 60% [76] Question: How does the company view the ASC market in relation to hospital settings? - The ASC market is seen as a market expansion opportunity, with a focus on both hospital and ASC placements to serve a larger patient population [120]

[Company Announcement & Highlights](index=1&type=section&id=1.%20Company%20Announcement%20%26%20Highlights) [First Quarter 2024 Overview](index=1&type=section&id=1.1.%20First%20Quarter%202024%20Overview) PROCEPT BioRobotics reported strong first-quarter 2024 financial results with significant revenue growth and an upward revision of its full-year 2024 revenue guidance First Quarter Revenue Performance | Metric | Q1 2024 | Q1 2023 | Year-over-Year Growth | | :--- | :--- | :--- | :--- | | Total Revenue | $44.5 million | $24.4 million | 83% | - Full-year 2024 revenue guidance raised to **$213.5 million** (previously $210.0 million)[9](index=9&type=chunk)[10](index=10&type=chunk) [CEO Commentary](index=1&type=section&id=1.2.%20CEO%20Commentary) CEO Reza Zadno highlighted strong first-quarter revenue growth exceeding 80%, disciplined operating expense management, and improved gross margin, expressing confidence in achieving long-term growth targets with an expanded commercial team and increasing demand for Aquablation therapy - Strong start to 2024 with **over 80% revenue growth** and disciplined operating expense management in the first quarter[3](index=3&type=chunk) - Gross margin is expected to improve throughout the year by leveraging overhead[3](index=3&type=chunk) - The company is confident in achieving long-term growth targets with an expanded and more experienced commercial team and increasing demand for Aquablation therapy[3](index=3&type=chunk) [First Quarter 2024 Financial Performance](index=1&type=section&id=2.%20First%20Quarter%202024%20Financial%20Performance) [Revenue Analysis](index=1&type=section&id=2.1.%20Revenue%20Analysis) Total revenue for Q1 2024 increased by 83% year-over-year, driven primarily by strong performance in the U.S. market, particularly from handheld devices and consumables sales, and system sales to new hospital customers, with international revenue also showing significant growth Revenue Breakdown by Geography and Type | Metric | Q1 2024 (million USD) | Q1 2023 (million USD) | Year-over-Year Growth | | :-------------------------------- | :-------------------- | :-------------------- | :-------------------- | | Total Revenue | 44.5 | 24.4 | 83% | | U.S. Revenue | 40.2 | 21.8 | 85% | | U.S. Handheld Devices and Consumables Revenue | 23.6 | 11.8 | 101% | | U.S. System and Lease Revenue | 14.2 | 8.8 | 62% | | International Revenue | 4.3 | 2.6 | 65% | - As of March 31, 2024, U.S. AquaBeam Robotic System installations reached **354 units**[4](index=4&type=chunk) - Average monthly utilization per account increased by approximately **8% to 6.8 procedures** in Q1 2024[4](index=4&type=chunk) - **38 robotic systems** were sold in the U.S. during Q1 2024[9](index=9&type=chunk) [Gross Margin](index=1&type=section&id=2.2.%20Gross%20Margin) Gross margin significantly improved to 56% in Q1 2024, up from 51% in the prior year and 49% in Q4 2023, driven by strong operational execution, improved overhead absorption, and better-than-expected revenue Gross Margin Performance | Metric | Q1 2024 | Q1 2023 | Q4 2023 | | :---------- | :------ | :------ | :------ | | Gross Margin | 56% | 51% | 49% | - Gross margin expansion is attributed to strong operational execution, improved overhead absorption, and better-than-expected revenue[5](index=5&type=chunk) [Operating Expenses](index=1&type=section&id=2.3.%20Operating%20Expenses) Operating expenses increased to $52.7 million in Q1 2024, up from $40.9 million in the prior year, primarily due to higher sales and marketing expenses for commercial organization expansion and variable compensation, alongside increased R&D and general administrative costs Operating Expenses Breakdown | Metric | Q1 2024 (million USD) | Q1 2023 (million USD) | Year-over-Year Change (million USD) | | :-------------------------------- | :-------------------- | :-------------------- | :-------------------------- | | Total Operating Expenses | 52.7 | 40.9 | +11.8 | | Research and Development Expenses | 13.1 | 10.7 | +2.4 | | Sales, General, and Administrative Expenses | 39.6 | 30.1 | +9.5 | - The increase in expenses was primarily driven by sales and marketing costs for commercial organization expansion and variable compensation, as well as increased research and development and general administrative expenses[6](index=6&type=chunk) [Net Loss and Adjusted EBITDA](index=1&type=section&id=2.4.%20Net%20Loss%20and%20Adjusted%20EBITDA) In Q1 2024, the company's net loss narrowed to $26.0 million, down from $28.5 million in the prior year, with adjusted EBITDA loss also improving year-over-year to $20.4 million from $23.9 million Net Loss and Adjusted EBITDA Performance | Metric | Q1 2024 (million USD) | Q1 2023 (million USD) | Year-over-Year Change (million USD) | | :----------------- | :-------------------- | :-------------------- | :-------------------------- | | Net Loss | (26.0) | (28.5) | +2.5 | | Adjusted EBITDA Loss | (20.4) | (23.9) | +3.5 | Net Loss Per Share | Metric | Q1 2024 | Q1 2023 | | :-------------------------- | :------ | :------ | | Net Loss Per Share (Basic and Diluted) | ($0.51) | ($0.63) | - The weighted-average common shares used to calculate net loss per share increased from **45,066 thousand shares** in Q1 2023 to **51,011 thousand shares** in Q1 2024[20](index=20&type=chunk) [Balance Sheet Snapshot](index=1&type=section&id=2.5.%20Balance%20Sheet%20Snapshot) As of March 31, 2024, the company held $225.6 million in cash and short-term investments, with total long-term debt of $51.4 million, while both total assets and liabilities slightly decreased from December 31, 2023 Balance Sheet Summary | Metric (million USD) | March 31, 2024 | December 31, 2023 | | :-------------------------- | :------------- | :---------------- | | **Assets:** | | | | Cash and Cash Equivalents | 225.6 | 257.2 | | Accounts Receivable, Net | 56.1 | 48.4 | | Inventory | 41.6 | 39.8 | | Total Current Assets | 329.2 | 350.6 | | Total Assets | 382.9 | 404.7 | | **Liabilities and Stockholders' Equity:** | | | | Accounts Payable | 10.1 | 13.5 | | Accrued Compensation | 11.5 | 16.9 | | Total Current Liabilities | 38.7 | 45.9 | | Long-Term Debt | 51.4 | 51.3 | | Total Liabilities | 118.9 | 124.0 | | Total Stockholders' Equity | 264.0 | 280.8 | [Full Year 2024 Financial Guidance](index=1&type=section&id=3.%20Full%20Year%202024%20Financial%20Guidance) [Revenue Guidance](index=1&type=section&id=3.1.%20Revenue%20Guidance) The company raised its full-year 2024 revenue guidance to $213.5 million, representing a 57% increase from last year's revenue, exceeding the previous guidance of $210.0 million Full-Year 2024 Revenue Guidance | Metric | New FY 2024 Guidance (million USD) | Previous FY 2024 Guidance (million USD) | Year-over-Year Growth | | :----------- | :--------------------------- | :-------------------------------- | :-------------------- | | Total Revenue | 213.5 | 210.0 | 57% | [Gross Margin Guidance](index=2&type=section&id=3.2.%20Gross%20Margin%20Guidance) Full-year 2024 gross margin guidance has been updated to approximately 58% to 59%, compared to the previous guidance of approximately 57% to 59% Full-Year 2024 Gross Margin Guidance | Metric | New FY 2024 Guidance | Previous FY 2024 Guidance | | :----------- | :------------------- | :------------------------ | | Gross Margin | 58% to 59% | 57% to 59% | [Operating Expense Guidance](index=3&type=section&id=3.3.%20Operating%20Expense%20Guidance) The company anticipates total operating expenses for the full fiscal year 2024 to be approximately $231.5 million, remaining consistent with previously issued guidance Full-Year 2024 Operating Expense Guidance | Metric | FY 2024 Guidance (million USD) | Previous FY 2024 Guidance (million USD) | | :-------------------- | :--------------------------- | :-------------------------------- | | Total Operating Expenses | 231.5 | 231.5 | [Adjusted EBITDA Guidance](index=3&type=section&id=3.4.%20Adjusted%20EBITDA%20Guidance) Full-year 2024 adjusted EBITDA loss is projected to improve to ($70.0) million, compared to the previous guidance of ($73.0) million Full-Year 2024 Adjusted EBITDA Guidance | Metric | New FY 2024 Guidance (million USD) | Previous FY 2024 Guidance (million USD) | | :----------------- | :--------------------------- | :-------------------------------- | | Adjusted EBITDA Loss | (70.0) | (73.0) | [Company Information](index=3&type=section&id=4.%20Company%20Information) [About PROCEPT BioRobotics Corporation](index=3&type=section&id=4.1.%20About%20PROCEPT%20BioRobotics%20Corporation) PROCEPT BioRobotics is a robotic surgical company focused on urology, developing, manufacturing, and selling the AquaBeam Robotic System for minimally invasive urological procedures, primarily treating benign prostatic hyperplasia (BPH), emphasizing the therapy's effective, safe, and durable outcomes supported by extensive clinical evidence - PROCEPT BioRobotics is a surgical robotics company dedicated to advancing patient care by developing transformative solutions in urology[12](index=12&type=chunk) - The company develops, manufactures, and sells the AquaBeam Robotic System, an advanced, image-guided robotic surgical system for minimally invasive urological procedures, initially focused on treating benign prostatic hyperplasia (BPH)[12](index=12&type=chunk) - Aquablation therapy aims to provide effective, safe, and durable treatment outcomes for men suffering from lower urinary tract symptoms due to BPH, regardless of prostate size, shape, or surgeon experience[12](index=12&type=chunk) - The company has accumulated extensive and growing clinical evidence, including **nine clinical studies** and **over 150 peer-reviewed publications**, supporting the benefits and clinical advantages of Aquablation therapy[12](index=12&type=chunk) [Investor Relations & Webcast Information](index=3&type=section&id=4.2.%20Investor%20Relations%20%26%20Webcast%20Information) PROCEPT BioRobotics will host a conference call on May 1, 2024, to discuss its first-quarter 2024 financial results, with registration details for the webcast and conference call, along with investor contact information, provided - PROCEPT BioRobotics will host a conference call on **Thursday, May 1, 2024, at 8:00 a.m. Eastern Time** to discuss its first-quarter 2024 financial results[11](index=11&type=chunk) - Webcast and conference call registration links are provided for investors and sell-side research analysts[17](index=17&type=chunk) - Investor contact: **Matt Bacso**, Vice President of Investor Relations and Business Operations[19](index=19&type=chunk) [Non-GAAP Financial Measures](index=3&type=section&id=5.%20Non-GAAP%20Financial%20Measures) [Use of Non-GAAP Financial Measures (Unaudited)](index=3&type=section&id=5.1.%20Use%20of%20Non-GAAP%20Financial%20Measures%20(Unaudited)) This press release refers to Adjusted EBITDA, a non-GAAP financial measure defined as earnings before interest expense, taxes, depreciation and amortization, and stock-based compensation expense, used by the company to provide supplemental information for understanding operating performance and enhancing transparency, while acknowledging its limitations compared to GAAP measures - Adjusted EBITDA is a financial measure not prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP)[11](index=11&type=chunk)[13](index=13&type=chunk) - The company defines Adjusted EBITDA as earnings before interest expense, taxes, depreciation and amortization, and stock-based compensation expense[13](index=13&type=chunk) - The company believes that providing Adjusted EBITDA offers investors useful supplemental information to understand and evaluate its operating performance, enhance overall understanding of its past performance and future prospects, and increase transparency regarding key financial measures used by management in financial and operational decision-making[14](index=14&type=chunk) - Non-GAAP financial measures are not a substitute for, or superior to, GAAP financial performance measures, should not be considered an alternative to any other performance measure derived in accordance with GAAP, and may not be directly comparable to similarly titled measures of other companies[13](index=13&type=chunk)[14](index=14&type=chunk) [Legal & Safety Disclosures](index=3&type=section&id=6.%20Legal%20%26%20Safety%20Disclosures) [Forward-Looking Statements](index=3&type=section&id=6.1.%20Forward-Looking%20Statements) This section contains forward-looking statements regarding anticipated financial results, product efficacy, and business strategies, which are subject to risks and uncertainties that could cause actual results to differ materially from expectations, cautioning readers not to place undue reliance on these statements as they are based on current expectations and are not guarantees of future performance - This press release contains forward-looking statements within the meaning of federal securities laws, including the company's projected full-year 2024 financial results and statements regarding the potential efficacy, value, benefits, and advantages of Aquablation® therapy performed using PROCEPT BioRobotics products, including the AquaBeam Robotic System[15](index=15&type=chunk) - These statements involve risks and uncertainties that could cause actual results to differ materially from the results and expectations expressed or implied by these forward-looking statements[15](index=15&type=chunk) - Forward-looking statements are merely predictions based on the company's current expectations, estimates, and assumptions, are valid only as of the date of this release, and are subject to risks and uncertainties[15](index=15&type=chunk) - These risks and uncertainties are described in more detail in the company's filings with the U.S. Securities and Exchange Commission ("SEC"), including in the "Risk Factors" section of the company's Annual Report on Form 10-K filed with the SEC on February 28, 2024[18](index=18&type=chunk) [Important Safety Information](index=4&type=section&id=6.2.%20Important%20Safety%20Information) All surgical treatments carry inherent associated side effects; for a list of potential side effects, please visit the company's provided safety information website - All surgical treatments have inherent associated side effects[19](index=19&type=chunk) - For a list of potential side effects, please visit https://aquablation.com/safety-information/[19](index=19&type=chunk) [Unaudited Financial Statements](index=5&type=section&id=7.%20Unaudited%20Financial%20Statements) [Condensed Consolidated Statements of Operations](index=5&type=section&id=7.1.%20Condensed%20Consolidated%20Statements%20of%20Operations) Presents the unaudited condensed consolidated statements of operations for the three months ended March 31, 2024, and March 31, 2023, detailing revenue, cost of sales, gross profit, operating expenses, and net loss Condensed Consolidated Statements of Operations | Metric (thousand USD) | Q1 2024 | Q1 2023 | | :-------------------------------- | :------ | :------ | | Revenue | 44,539 | 24,404 | | Cost of Sales | 19,505 | 11,913 | | Gross Profit | 25,034 | 12,491 | | Research and Development Expenses | 13,084 | 10,737 | | Sales, General, and Administrative Expenses | 39,599 | 30,131 | | Total Operating Expenses | 52,683 | 40,868 | | Operating Loss | (27,649) | (28,377) | | Net Loss | (25,957) | (28,484) | | Net Loss Per Share (Basic and Diluted) | (0.51) | (0.63) | [Reconciliation of GAAP Net Loss to Adjusted EBITDA (Q1 2024)](index=5&type=section&id=7.2.%20Reconciliation%20of%20GAAP%20Net%20Loss%20to%20Adjusted%20EBITDA%20(Q1%202024)) Provides a reconciliation of GAAP net loss to Adjusted EBITDA for the three months ended March 31, 2024, and March 31, 2023, showing adjustments for depreciation and amortization, stock-based compensation expense, and net interest Reconciliation of GAAP Net Loss to Adjusted EBITDA (Q1 2024) | Metric (thousand USD) | Q1 2024 | Q1 2023 | | :-------------------------------- | :------ | :------ | | Net Loss | (25,957) | (28,484) | | Depreciation and Amortization Expense | 1,184 | 793 | | Stock-Based Compensation Expense | 6,256 | 3,724 | | Interest (Income) and Interest Expense, Net | (1,838) | 49 | | Adjusted EBITDA | (20,355) | (23,918) | [Reconciliation of GAAP Net Loss to Adjusted 2024 EBITDA Guidance](index=7&type=section&id=7.3.%20Reconciliation%20of%20GAAP%20Net%20Loss%20to%20Adjusted%202024%20EBITDA%20Guidance) Presents the reconciliation of projected full-year 2024 GAAP net loss to Adjusted EBITDA guidance, including adjustments for depreciation and amortization, stock-based compensation expense, and net interest Reconciliation of GAAP Net Loss to Adjusted FY 2024 EBITDA Guidance | Metric (thousand USD) | FY 2024 Guidance | | :-------------------------------- | :--------------- | | Net Loss | (100,000) | | Depreciation and Amortization Expense | 5,645 | | Stock-Based Compensation Expense | 31,500 | | Interest (Income) and Interest Expense, Net | (7,145) | | Adjusted EBITDA | (70,000) | [Condensed Consolidated Balance Sheets](index=9&type=section&id=7.4.%20Condensed%20Consolidated%20Balance%20Sheets) Provides the unaudited condensed consolidated balance sheets as of March 31, 2024, and December 31, 2023, detailing assets, liabilities, and stockholders' equity Condensed Consolidated Balance Sheets | Metric (thousand USD) | March 31, 2024 | December 31, 2023 | | :-------------------------- | :------------- | :---------------- | | **Assets:** | | | | Cash and Cash Equivalents | 225,576 | 257,222 | | Accounts Receivable, Net | 56,081 | 48,376 | | Inventory | 41,622 | 39,756 | | Total Current Assets | 329,186 | 350,567 | | Total Assets | 382,900 | 404,717 | | **Liabilities and Stockholders' Equity:** | | | | Accounts Payable | 10,084 | 13,499 | | Accrued Compensation | 11,469 | 16,885 | | Total Current Liabilities | 38,650 | 45,927 | | Long-Term Debt | 51,371 | 51,339 | | Total Liabilities | 118,853 | 123,965 | | Total Stockholders' Equity | 264,047 | 280,752 | [Revenue by Type and Geography](index=11&type=section&id=7.5.%20Revenue%20by%20Type%20and%20Geography) Details the company's revenue breakdown by type (system sales and leases, handheld devices and other consumables, services) and geographic region (U.S. and outside U.S.) for the three months ended March 31, 2024, and March 31, 2023 Revenue by Type and Geography | Revenue Category (thousand USD) | Q1 2024 | Q1 2023 | | :-------------------------------- | :------ | :------ | | **U.S. Revenue:** | | | | System Sales and Leases | 14,236 | 8,770 | | Handheld Devices and Other Consumables | 23,618 | 11,770 | | Services | 2,347 | 1,235 | | Total U.S. Revenue | 40,201 | 21,775 | | **Outside U.S. Revenue:** | | | | System Sales and Leases | 1,740 | 1,469 | | Handheld Devices and Other Consumables | 2,343 | 906 | | Services | 255 | 254 | | Total Outside U.S. Revenue | 4,338 | 2,629 | | **Total Revenue** | 44,539 | 24,404 |

Table of Contents o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number 001-04321 ___________________________________ PROCEPT BIOROBOTICS CORPORATION (Exact name of registrant as specified in its charter) ___________________________________ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________ FORM 10-K ___________________________________ (Mark ...

PROCEPT BioRobotics Corporation (NASDAQ:PRCT) Q4 2023 Earnings Conference Call February 27, 2024 4:30 PM ET Company Participants Matt Bacso - VP, IR and Business Operations Reza Zadno - President and CEO Kevin Waters - EVP and CFO Conference Call Participants Craig Bijou - Bank of America Joshua Jennings - TD Cowen Matthew O'Brien - Piper Sandler Chris Pasquale - Nephron Research Brandon Vasquez - William Blair Nathan Treybeck - Wells Fargo Mike Kratky - Leerink Partners Operator Good day and thank you for ...

44 2024 Financial Guidance Actual 2023 Guidance FY241 Revenue : OPEX Growth Ratio 1.5x ~1.9x Total Revenue ($ Mil) Non-GAAP Reconciliations RECONCILIATION OF 2024 GAAP NET LOSS TO ADJUSTED EBITDA Guidance (in thousands) References 3. WATER U.S. pivotal trial 2014, Ortman, An Aging Nation: The Older Population in the United States Vuichoud, C, Loughlin, K. Benign prostatic hyperplasia: epidemiology, economics and evaluation. Can J Urol. 2015 Oct;22 Suppl 1:1-6. Vuichoud, C, Loughlin, K. Benign prostatic hype ...