UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (MARK ONE) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2020 OR ☐ 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 001-36159 STEREOTAXIS, INC. (Exact name of the Registrant as Specified in its Charter) DELAWARE 94-3120386 (State or Other Jurisdicti ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (MARK ONE) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2020 OR [ ] 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 001-36159 STEREOTAXIS, INC. (Exact name of the Registrant as Specified in its Charter) Securities registered pursuant to Section ...

Financial Data and Key Metrics Changes - Revenue for Q1 2020 totaled $5.8 million, with recurring revenue of $5.5 million, representing an 18% decline from $6.7 million in the same quarter last year due to lower procedure volumes and delayed service activities following the COVID-19 outbreak [32] - Gross margin for Q1 was approximately 83%, while operating expenses decreased by 11% to $6.9 million from $7.7 million in the prior year quarter, primarily due to timing of R&D projects and pandemic-related reductions in sales and marketing activities [33] - Operating loss and net loss for Q1 were $2.1 million and $2 million respectively, with negative free cash flow of $2.2 million compared to $1.8 million for Q1 2019 [34] Business Line Data and Key Metrics Changes - Approximately half of Stereotaxis' recurring revenue comes from disposables used in procedures, with a significant decline in recurring revenue observed in Q1 due to decreased procedure volumes across geographies [10][32] - Service revenue, which comprises just over half of recurring revenue, is primarily driven by multiyear non-cancelable contracts and is viewed as a source of stability for the company [13] Market Data and Key Metrics Changes - Procedure volumes in North America and Europe saw a sudden decline of approximately 70% below normal levels starting in the second week of March, with many hospitals halting procedures entirely [9] - In Asia, procedure volume was down over 50% compared to the prior year, but this decline was isolated to China, which had a modest impact on overall global business [8] Company Strategy and Development Direction - The company announced FDA clearance of its novel Genesis robotic system and projected significant revenue growth driven by its adoption, although the pandemic has disrupted progress on several expected purchase orders [14][16] - Stereotaxis is focusing on maintaining financial stability and supporting the patients and physicians that rely on its technology while continuing to advance strategic innovations [17][28] Management's Comments on Operating Environment and Future Outlook - Management expressed caution regarding the duration and slope of the recovery in procedure activity, indicating that reduced activity is expected to persist for several months [10] - The company has suspended its guidance for robust double-digit revenue growth for the year due to the uncertain duration and scope of the pandemic [36] Other Important Information - The company received a $2.2 million forgivable loan through the Paycheck Protection Program, which has helped avoid additional expense reductions [30] - Stereotaxis has adapted to the new environment by launching telerobotic test drives, allowing physicians to remotely experience the Genesis system [24] Q&A Session Summary Question: Details on Genesis purchase orders - Management indicated that no projects have been canceled, but hospital administrators have shifted focus to COVID-related activities, causing delays in contract negotiations [40][42] Question: Insights on ramping up cardiac ablation procedures - There is variability in responses from hospitals regarding the ramp-up of procedures, with some expressing a desire to return to normal operations while others remain cautious [44][46] Question: R&D efforts and pipeline projects - Management highlighted ongoing innovation efforts, including the next-generation magnetic ablation catheter and advancements in telemedicine capabilities [49][55] Question: Impact of disposables versus service activities on revenue - Approximately 70% of the revenue decline was attributed to reduced disposable sales, while 30% was due to delays in specific service projects [65] Question: Variable expenses that can be reduced - Management emphasized the importance of maintaining financial stability while exploring ways to reduce expenses without harming the company's capabilities [66][70] Question: Robotic EP fellows program and potential customers - The fellowship program has been successful, with over 40 fellows from more than 20 hospitals, and management views them as strategic investments for future growth [97][100]

Regulatory Approvals and Compliance - The Genesis RMN System has received regulatory clearance and CE Mark approvals for marketing in the U.S. and Europe, enhancing the treatment of complex interventional procedures [19]. - The company has received regulatory approvals necessary to market various systems and devices in the U.S., Canada, Europe, and other countries [40][41]. - The company’s products are classified as Class II devices requiring 510(k) clearances, while compatible catheters used with its magnetic navigation system are Class III devices subject to the PMA process [99]. - The FDA's 510(k) clearance process typically takes between four to twelve months, but can extend longer [1]. - If a device is not eligible for 510(k) clearance, a PMA must be submitted, which is more costly and can take one to three years or longer [2]. - The company must comply with extensive safety and quality regulations in international markets, which may involve additional product testing [6]. - To market products in the European Economic Area, manufacturers must obtain CE Mark certification, which requires compliance with quality standards [7]. - The company is subject to various federal and state laws related to healthcare fraud and abuse, including anti-kickback and false claims laws [10]. - The company must track and report all payments and transfers of value to U.S. physicians under the Physician Payments Sunshine Act [14]. - Compliance with HIPAA and other privacy laws is required to protect patient medical information, which may entail significant operational changes [16]. - A certificate of need is required in several states prior to the acquisition of high-cost medical equipment, affecting purchase orders [17]. - The company is subject to unannounced inspections by the FDA to ensure compliance with regulatory requirements [5]. Financial Performance and Revenue - As of December 31, 2019, the company had a backlog of approximately $1.1 million, with an expectation that about 51% will be recognized as revenue in 2020 [23]. - Disposable revenue represented 33% of total revenue for the years ended December 31, 2019 and 2018 [37]. - Other recurring revenue accounted for 47% and 52% of total revenue for the years ended December 31, 2019 and 2018, respectively [39]. - Revenue from Biosense Webster Inc. related to royalties was $2.8 million and $2.9 million, or 10% of total net revenue for the years ended December 31, 2019 and 2018 [43]. Clinical and Technological Advancements - The robotic magnetic navigation system has demonstrated a 62% reduction in major complication rates and a 31% decrease in patient radiation duration compared to traditional manual interventions [29]. - The Odyssey Solution improves clinical workflow by integrating multiple sources of diagnostic and imaging information into a single user interface, enhancing procedure efficiency [29]. - The robotic technology allows for precise control of interventional devices, potentially enabling the treatment of complex cases like ventricular tachycardia and atrial fibrillation on a broader scale [29]. - The clinical value of the robotic magnetic navigation system has been validated in over 350 publications and more than 100,000 procedures [29]. - The company believes that its systems can reduce procedure times and variability, leading to more efficient scheduling and staffing in hospitals [29]. - The company believes that its system can improve outcomes and reduce procedure times for complex interventional cardiology procedures [54]. - The robotic magnetic navigation system is expected to significantly lower skill barriers for physicians performing complex electrophysiology procedures [49]. Strategic Collaborations and Relationships - The company has strategic relationships with technology leaders to ensure compatibility between its systems and digital imaging technologies, which is critical for commercialization efforts [24]. - The strategic relationship with Biosense Webster includes co-development of catheters that generate royalty revenue, which represented 10% of total revenue for the years ended December 31, 2019 and 2018 [60]. - The company has entered into a strategic collaboration with Osypka AG for the development of a next-generation magnetic ablation catheter, with the company funding the development and retaining sole ownership of the catheter [65]. - The company maintains critical strategic relationships for commercialization efforts, although there are no guarantees these collaborations will continue [66]. Manufacturing and Operational Strategy - The company’s manufacturing strategy includes subcontracting major subassemblies to maximize flexibility and lower fixed costs, while maintaining quality control through in-house assembly and inspection [72]. - The company’s manufacturing facility has been audited annually since 2001 and found to be in compliance with FDA requirements and ISO standards [78]. - The company has established a call center in St. Louis to provide real-time clinical and technical support to customers worldwide [71]. Market Insights and Competition - Approximately 1 million electrophysiology procedures are performed annually worldwide, with a growth rate of approximately 10% annually [48]. - Over 4 million interventional cardiology procedures are performed annually in the U.S. alone, with an estimated 10-15% being complex procedures [54]. - The company faces competition from traditional catheter-based electrophysiology approaches and other companies developing new products for electrophysiology, including next-generation mapping systems [90]. - The company has 70 issued U.S. patents and 4 pending U.S. patent applications as of December 31, 2019, with key patents extending until 2022 and beyond [86]. Workforce and Employment - As of December 31, 2019, the company had 118 employees, with 32 in research and development and 55 in sales and marketing [18].

Financial Data and Key Metrics Changes - Revenue for Q4 2019 totaled $6.9 million, with full-year revenue of $28.9 million, reflecting a decline in recurring revenue by 7% primarily due to reduced service revenue [37][39] - System revenue for the full year increased to $2.1 million from $1.6 million, indicating growth in new robotic programs [37] - Gross margin for Q4 and full year 2019 were approximately 75% and 79% respectively, while operating expenses for the full year increased to $27.6 million from $26.1 million in 2018 [38][39] - The company ended 2019 with $30 million in cash and no debt, positioning itself for long-term growth [18][39] Business Line Data and Key Metrics Changes - Recurring revenue for the full year 2019 was $25.8 million, down from the previous year, primarily due to aging inactive accounts [37] - The company has established a new robotic program contributing to system revenue growth, although overall recurring revenue has declined [37] Market Data and Key Metrics Changes - The company has less than 1% market share in the cardiac ablation market, indicating significant room for growth [16] - Approximately 5% of recurring revenue comes from China, with a noted decline in cardiac ablation procedures during the early stages of the COVID-19 outbreak [44][45] Company Strategy and Development Direction - The company aims to transform endovascular surgery with robotics, focusing initially on cardiac ablation as a primary application [16] - Stereotaxis is investing in commercial infrastructure, including clinical field teams and training programs, to support robotic practices [19][21] - The Genesis Robotic system represents a significant advancement in technology, with FDA clearance received, and is expected to drive future sales [26][41] Management's Comments on Operating Environment and Future Outlook - Management anticipates robust double-digit revenue growth in 2020 driven by the commercialization of the Genesis system [41] - The company is cautiously optimistic about the impact of COVID-19, noting that most cardiac ablation procedures are not discretionary and can only be delayed [44][45] Other Important Information - The company has made significant progress in innovation and collaboration, including partnerships for mapping technologies and the development of a next-generation magnetic ablation catheter [30][33] - The OpenMapping software architecture is part of a broader strategy to create a competitive ecosystem around robotics [61] Q&A Session Summary Question: Sales funnel and demand for Genesis - Management confirmed two orders received, one from a new customer and one replacement, with a focus on ensuring the replacement cycle becomes real [48] Question: Osypka collaboration and regulatory pathway - The company is refining the catheter design and expects to conduct additional animal studies, with plans for initial clinical trials in 2020 [51][52] Question: Focus beyond cardiac applications - Management indicated that neurovascular applications are a high priority, alongside other interventional medicine areas [56] Question: Announcement of new system orders - The company aims to shift towards quarterly announcements rather than individual system orders, allowing hospitals to showcase their leadership [58] Question: OpenMapping API and strategic initiative - The OpenMapping API is part of a broader strategy to create an open ecosystem, with several physicians already using the integrated systems [60][62] Question: Upgrade plans for existing systems - Existing customers are expected to upgrade to the Genesis system as they approach standard lab replacements, with a focus on maintaining customer engagement [71] Question: Sales strategy for existing and new customers - The company is building capabilities for both existing customer upgrades and new system sales, with a clinical team already in place to address customer needs [74]

Stereotaxis, Inc. (NYSE:STXS) Q3 2019 Earnings Conference Call November 14, 2019 9:00 AM ET Company Participants David Fischel - CEO & Chairman Kimberly Peery - CFO Conference Call Participants Joshua Jennings - Cowen and Company Guy Judkowski - Logan Capital Management John Morganelli - Private Investor Operator Good morning. Thank you for joining us for the Stereotaxis Third Quarter 2019 Earnings Conference Call. Certain statements during the conference call and the question-and-answer period to follow m ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 (Exact name of registrant as specified in its charter) Delaware 94-3120386 (State of Incorporation) 4320 Forest Park Avenue Suite 100 St. Louis, Missouri 63108 (Address of principal executive offices) (Zip Code) identification no.) Registrant's telephone number, including area code: (314 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 [ ] 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: 001-36159 STEREOTAXIS, INC. (Exact name of registrant as specified in its charter) (State of Incorporation) Delaware 94-3120386 (I.R.S. employ ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Commission File Number: 001-36159 WASHINGTON, D.C. 20549 STEREOTAXIS, INC. FORM 10-Q (Exact name of registrant as specified in its charter) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Indicate by check mark whether the registrant has submitte ...

Stereotaxis, Inc. (NYSE:STXS) Q1 2019 Earnings Conference Call May 9, 2019 9:00 AM ET Company Participants David Fischel - CEO & Chairman Martin Stammer - CFO Conference Call Participants Joshua Jennings - Cowen and Company Operator Good morning. Thank you for joining us for Stereotaxis First Quarter 2019 Earnings Conference Call. Certain statements during the conference call and question-and-answer period to follow may relate to future events, expectations and, as such, constitute forward-looking statement ...