Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $124 million, reflecting a 14% growth compared to Q1 2024, with adjusted EBITDA of $9 million, representing over 200% improvement from the previous year [5][26] - U.S. revenue was $101.1 million, a 12.1% increase from Q1 2024, while international revenue totaled $22.5 million, up 20.8% [20][24] - Gross margin for Q1 2025 was 74.9%, an increase of 27 basis points from the previous year [24] Business Line Data and Key Metrics Changes - Appendage management revenue grew 19%, driven by 23% growth in open AtriClip devices and 7% in minimally invasive (MIS) devices [8][9] - Open ablation franchise sales increased by 14%, with a notable 47% growth in Encompass clamp sales [12][13] - Pain management franchise saw a 39% growth, largely due to the adoption of CryoStur Max and CryoStur Plus probes [17][18] Market Data and Key Metrics Changes - International sales in Europe accounted for $14.2 million, up 25.1%, while Asia Pacific and other markets contributed $8.3 million, up 14% [24] - The U.S. experienced a decline in MIS ablation sales by approximately 31% due to increased use of PFA catheters [22][23] Company Strategy and Development Direction - The company aims to maintain leadership in multibillion-dollar markets through investments in product development and clinical research [6][7] - AtriCure is focused on expanding the utilization of the AtriClip Flex Mini and Pro Mini devices, which are expected to drive future growth [10][11] - The company is also developing a PFA-enabled version of the Encompass clamp, with expectations for clinical trials later this year [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit revenue growth and expanding profitability through the rest of the decade [6][7] - The company anticipates continued pressure in the U.S. MIS market but expects long-term adoption of hybrid AF therapy as physicians identify suitable patient segments [16][19] - AtriCure expects to generate positive cash flow for the remainder of 2025, with a modest gain for the year overall [27][28] Other Important Information - The company is reiterating its full-year revenue guidance of $517 million to $527 million, reflecting an 11% to 13% growth over 2024 [28][29] - AtriCure's LEAPS trial is expected to provide significant differentiation in the market by demonstrating the benefits of managing the appendage with AtriClip devices [12][100] Q&A Session Summary Question: Impact of tariffs on gross margin - Management expects a modest impact on gross margin due to the majority of suppliers being based in the U.S., with potential effects in the tens of basis points [36][38] Question: Acceleration in appendage management - The acceleration is attributed to the launch of the Flex Mini device, which has received positive feedback and increased adoption among physicians [39] Question: Guidance for revenue growth - Management is cautious about adjusting guidance upward at this early stage of the year, despite strong performance in key areas [42][43] Question: Pain management growth sources - Growth is driven by increased adoption of CryoStur Max, with significant improvements in existing accounts [45][47] Question: Confidence in MIS business recovery - Management believes there are signs of recovery, with many accounts starting to refer more patients as they experience failures with PFA [50][52] Question: Future contributions from new products - Management anticipates multiple years of growth from new product launches, including the Flex Mini and Encompass clamp [62][63] Question: Launch strategy for Cryo XT - The launch will be methodical, similar to previous product introductions, with expectations for gradual adoption [75][76] Question: Competitive landscape for AtriClip - Competition is seen as beneficial for market awareness, and AtriCure is focused on innovation and clinical evidence to maintain its competitive edge [88][90] Question: Longevity of Encompass clamp growth - There is significant room for growth in the U.S. market, with ongoing expansion into non-AFib patients expected to drive future sales [92][93] Question: Timeline for MIS market recovery - Management anticipates continued pressure this year but expects to see positive trends next year [96][98] Question: Differentiation from LEAPS trial - The LEAPS trial is expected to provide a unique stroke label for AtriCure, setting it apart from competitors [100]

Core Insights - AtriCure reported revenue of $123.62 million for Q1 2025, a 13.6% increase year-over-year, with an EPS of -$0.14 compared to -$0.25 a year ago, exceeding the Zacks Consensus Estimate of $123.43 million by 0.16% and delivering an EPS surprise of 44% [1] Revenue Performance - U.S. Revenue in Pain Management reached $17.27 million, surpassing the average estimate of $16.17 million by analysts, reflecting a year-over-year increase of 35.6% [4] - Total U.S. Revenue was $101.15 million, exceeding the average estimate of $100.60 million, with a year-over-year change of 12.1% [4] - International Revenue in Pain Management was $1.79 million, slightly below the estimated $1.92 million, but showed a significant year-over-year increase of 90.9% [4] - Total International Revenue was $22.47 million, slightly below the average estimate of $22.70 million, with a year-over-year change of 20.8% [4] Segment Performance - International Revenue from Minimally Invasive Ablation was $2.01 million, below the estimated $2.37 million, representing a year-over-year decrease of 4.8% [4] - International Revenue from Appendage Management was $9.67 million, slightly above the average estimate of $9.60 million, with a year-over-year increase of 26.5% [4] - U.S. Revenue from Open Ablation was $33.31 million, close to the average estimate of $33.41 million, reflecting a year-over-year increase of 13.7% [4] - U.S. Revenue from Minimally Invasive Ablation was $8.48 million, significantly below the estimated $10.82 million, showing a year-over-year decrease of 31.2% [4] - U.S. Revenue from Appendage Management was $42.09 million, exceeding the average estimate of $40.21 million, with a year-over-year increase of 17.3% [4] Stock Performance - AtriCure's shares have returned 4.4% over the past month, outperforming the Zacks S&P 500 composite, which declined by 0.8% [3]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $124 million, representing a 14% growth compared to the same period in 2024 [6][21] - Adjusted EBITDA for Q1 2025 was $9 million, an improvement of over 200% from Q1 2024 [6][26] - Gross margin for Q1 2025 was 74.9%, up 27 basis points from Q1 2024 [25] Business Line Data and Key Metrics Changes - Appendage management revenue grew 19%, with open AtriClip devices growing 23% and minimally invasive (MIS) devices growing 7% [10] - Open ablation franchise saw a 14% growth, with Encompass clamp sales increasing by over 47% [14] - Pain management franchise experienced a 39% growth, driven by the adoption of CryoStur Max and CryoStur Plus probes [18] Market Data and Key Metrics Changes - U.S. revenue was $101.1 million, a 12.1% increase from Q1 2024 [21] - International revenue totaled $22.5 million, up 20.8% on a reported basis [25] - European sales accounted for $14.2 million, reflecting a 25.1% increase [25] Company Strategy and Development Direction - The company aims to remain a leader in multibillion-dollar markets through investments in product development and clinical research [7][8] - A focus on double-digit revenue growth and expanding profitability through the rest of the decade is emphasized [7] - The company is expanding its Cryo nerve block therapy to address postoperative pain and reduce opioid dependency [19][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving positive cash flow for the remainder of 2025, with a modest gain expected for the year [27][28] - The company anticipates continued pressure in the U.S. MIS ablation and appendage management revenue in the near term [29] - Management highlighted the importance of maintaining relationships with electrophysiologists (EPs) to navigate competitive pressures from PFA technologies [81] Other Important Information - The company received FDA clearance for the AtriClip Pro Mini device, which is expected to enhance minimally invasive procedures [12] - The LEAPS trial is progressing rapidly, with total enrollment reaching 5,500 patients, aiming for 6,500 by Q3 2025 [13] Q&A Session Summary Question: Impact of tariffs on gross margin - Management expects a modest impact on gross margin due to tariffs, primarily because most suppliers are based in the U.S. [36] Question: Acceleration in appendage management - The acceleration is attributed to the launch of the Flex Mini device, which has received positive feedback from physicians [39] Question: Guidance for revenue growth - Management refrained from raising the low end of the revenue guidance range, citing it is early in the year [43] Question: Pain management growth sources - Growth is driven by increased adoption of CryoStur Max and improved procedure efficiency [47] Question: Confidence in MIS business recovery - Management believes there are signs of recovery, but anticipates continued pressure in the near term [100] Question: Future of Encompass clamp - The Encompass clamp is expected to continue driving growth, with significant market penetration still available [93]

Revenue Performance - First quarter 2025 revenue was $123.6 million, a 13.6% increase year-over-year (14.1% on a constant currency basis) [4] - U.S. revenue reached $101.1 million, up $10.9 million or 12.1% compared to Q1 2024, driven by key product lines [4] - International revenue increased by $3.9 million or 20.8% (23.9% on a constant currency basis) to $22.5 million [4] - Full year 2025 revenue is projected to be approximately $517 million to $527 million [6] Profitability Metrics - Gross profit for Q1 2025 was $92.6 million, with a gross margin of 74.9%, an increase of 27 basis points from Q1 2024 [4] - Adjusted EBITDA for Q1 2025 was $8.8 million, an increase of $6.0 million from the same period in 2024 [5] - Management expects full year 2025 adjusted EBITDA of approximately $44 million to $46 million [6] Net Loss and Adjusted Loss - Basic and diluted net loss per share for Q1 2025 was $0.14, compared to $0.28 for Q1 2024 [4] - The company reported a net loss of $6.7 million for Q1 2025, an improvement of $6.5 million year-over-year [8] - Reported net loss for Q1 2025 was $6,747 million, an improvement from a net loss of $13,269 million in Q1 2024 [25] - Non-GAAP adjusted net loss for Q1 2025 was $6,747 million, compared to $11,907 million in Q1 2024 [25] - Basic and diluted adjusted net loss per share decreased to $0.14 in Q1 2025 from $0.25 in Q1 2024 [25] - Weighted average shares used in computing adjusted net loss per share increased to 47,393 thousand in Q1 2025 from 46,719 thousand in Q1 2024 [25] Market Growth - Significant growth was noted in major geographic markets across key product lines, particularly in appendage management and pain management [4]

Atrial Fibrillation (Afib) Overview - Atrial fibrillation (Afib) affects over 59 million people globally, with over 4 million in the U.S. suffering from long-standing persistent Afib[18]. - Afib is responsible for approximately 15% to 20% of the estimated 800,000 strokes annually in the U.S., highlighting the condition's significant healthcare cost burden[24]. - The increasing awareness and improved diagnostic screening for Afib are expected to lead to a higher number of diagnosed patients over time[21]. Market Opportunities - The market for cardiac ablation products represents a significant growth opportunity, with an estimated 300,000 potential candidates for surgical ablation annually, of which less than 20% are currently treated[23]. - Approximately 500,000 Afib patients are treated by catheter ablation each year in the U.S., with an expected growth rate of over 10% annually[25]. - The market for pain management ablation products is significant, with approximately 150,000 thoracic procedures and 250,000 cardiothoracic procedures performed annually in the U.S.[25]. - The company’s AtriClip system is believed to be safer and more effective for left atrial appendage (LAA) management, addressing a significant market opportunity due to the high incidence of strokes related to Afib[24]. - The company’s products are sold through direct sales and distributors in various international markets, primarily transacted in U.S. Dollars[20]. Product Development and Innovation - The EPi-Sense System, approved in 2021, is the only FDA-approved minimally invasive procedure for treating long-standing persistent Afib, demonstrating the company's commitment to innovative solutions[33]. - The AtriClip LAA Exclusion System is designed to exclude the left atrial appendage, providing electrical isolation benefits and reducing the risk of blood clots[35]. - The AtriClip FLEX-Mini device, launched in 2024, sets a new standard as the smallest profile for a surgical LAA device on the market[37]. - In 2022, the company launched the EnCompass clamp in the U.S., designed to improve efficiency in cardiac soft tissue ablation, and received 510(k) clearance for the EnCapture clamp in 2024[29]. - The cryoSPHERE MAX probe, launched in 2024, reduces freeze times by 50% compared to the first generation cryoSPHERE probe, enhancing pain management capabilities[34]. Clinical Trials and Research - The company continues to invest in clinical trials to validate long-term results of its products, including the ICE-AFIB trial for the cryoICE system[32][40]. - The HEAL-IST clinical trial aims to enroll up to 142 patients across 40 sites in the US, UK, and EU, focusing on the safety and efficacy of a hybrid ablation procedure for Inappropriate Sinus Tachycardia[48]. - The CONVERGE trial demonstrated a 29% absolute difference in efficacy at 12 months (78% relative improvement) for the hybrid therapy arm compared to endocardial catheter ablation alone in long-standing persistent Afib patients[49]. - The ICE-AFIB study completed twelve-month patient follow-up, analyzing the safety and efficacy of the cryoICE system for persistent Afib treatment[57]. - The CEASE-AF trial demonstrated superior freedom from atrial arrhythmias for staged hybrid ablation compared to endocardial catheter ablation, with results accepted for presentation at the 2025 EHRA meeting[57]. Financial Performance and Risks - The company reported net losses of $44,698 in 2024, $30,438 in 2023, and $46,466 in 2022, with an accumulated deficit of $401,755 as of December 31, 2024[167]. - The company faces significant financial risks due to fluctuating quarterly results, which may be impacted by the pace of product adoption and external economic conditions[166]. - A prolonged economic downturn could adversely impact procedure volumes and hospital staffing, leading to reduced revenue[118]. - The company may need to raise capital in the future, which could dilute stockholder ownership and cause a decline in stock price[180]. - The company has a compliance program in place to mitigate risks associated with anti-corruption laws, but potential violations could lead to severe penalties and impact financial statements[163]. Regulatory and Compliance Challenges - The company is an FDA-registered medical device manufacturer and certified to ISO 13485:2016, conducting regular audits of its quality systems and suppliers[87]. - Regulatory challenges, including compliance with FDA requirements, could hinder product approval and market adoption[116]. - The company has not received FDA clearance to promote certain products for the treatment of Afib, which could hinder its ability to grow and maintain its business[145]. - The company is subject to medical device reporting regulations, and failure to report adverse events could result in significant regulatory fines or penalties[144]. - A serious failure to comply with regulatory requirements could result in sanctions such as warning letters, fines, and even criminal prosecution, adversely affecting the company's operations and financial condition[143]. Employee and Organizational Culture - The company has approximately 1,300 employees as of December 31, 2024, with a voluntary turnover rate consistently below 12% over the last five years, outperforming the industry average for medical device companies[89]. - The company has been recognized as a Top Workplace nine times in the past ten years and has been voted a Great Place to Work for three consecutive years[91]. - The company has invested in various employee development programs, including leadership development and competency-based courses, to enhance talent management and retention[93]. - The company has implemented a DE&I framework aimed at attracting diverse talent and fostering an inclusive workplace, earning recognition for providing opportunities for women innovators in 2024[94][95]. - The company maintains a strong safety culture with multiple safety programs and evaluations, ensuring a safe workplace for all employees[99].

AtriCure, Inc. (NASDAQ:ATRC) Q4 2024 Earnings Conference Call February 12, 2025 4:30 PM ET Company Participants Marissa Bych - Investor Relations Michael Carrel - President and Chief Executive Officer Angela Wirick - Chief Financial Officer Conference Call Participants Lily Lozada - JPMorgan William Plovanic - Canaccord Matthew O'Brien - Piper Sandler Marie Thibault - BTIG Rick Wise - Stifel Mike Matson - Needham & Company Danny Stauder - Citizens JMP Danielle Antalffy - UBS Suraj Kalia - Oppenheimer Matthe ...

Financial Results - AtriCure announced preliminary financial results for Q4 and full year 2024 on January 13, 2025[4] Investor Relations - The company is holding investor meetings to discuss business and growth strategy during the week of January 13, 2025[6] Forward-Looking Statements - The press release and investor presentation contain forward-looking statements regarding future performance and are subject to risks and uncertainties[7]

Table of Contents Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, $.001 par value ATRC NASDAQ Global Market UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 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, 2024 ...

AtriCure, Inc. (NASDAQ:ATRC) Q3 2024 Earnings Conference Call October 29, 2024 4:30 PM ET Company Participants Marissa Bych - Investor Relations Michael Carrel - President and Chief Executive Officer Angela Wirick - Chief Financial Officer Conference Call Participants Lilia Lozada - JPMorgan Mike Matson - Needham Danielle Antalffy - UBS Suraj Kalia - Oppenheimer & Co. Operator Good afternoon. And welcome to AtriCure's Third Quarter 2024 Earnings Conference Call. This call is being recorded for replay purpos ...

Exhibit 99.1 For immediate release October 29, 2024 AtriCure Reports Third Quarter 2024 Financial Results • Worldwide revenue of $115.9 million – an increase of 17.9% year over year • U.S. revenue of $95.5 million – an increase of 16.8% year over year • Achieved 20% growth on revenues from open appendage management devices in the U.S. • International revenue of $20.5 million – an increase of 23.3% year over year • Positive cash flow generation of $16.3 million in third quarter 2024 MASON, Ohio, October 29, ...