Financial Data and Key Metrics Changes - The company reported worldwide revenue of $48.6 million for Q2 2025, representing a growth of 21.7% year-over-year [30] - U.S. revenue was $46.4 million, reflecting a growth of 22.8% [31] - The net loss narrowed to $6.2 million or $0.14 per diluted share compared to a net loss of $8.9 million or $0.22 per diluted share in the prior year [34] - Positive adjusted EBITDA of $1 million was achieved, compared to an adjusted EBITDA loss of $2.7 million in the prior year [34] - Cash and marketable securities increased to $145.5 million, marking the first quarter of cash flow breakeven [35] Business Line Data and Key Metrics Changes - U.S. procedure volume increased by 25%, with double-digit growth across all modalities [32][9] - The physician base grew by 25%, reaching a record of 1,440 U.S. physicians performing procedures [21] - The average territory productivity reached $2.1 million, representing a 23% growth year-over-year [24] Market Data and Key Metrics Changes - International revenue was $2.2 million, impacted by delayed regulatory clearance for the iFuse Torque product [32] - The company expects the iFuse Torque to boost revenue growth in Europe in 2026 and beyond [32] Company Strategy and Development Direction - The company aims to build a platform of solutions targeting challenging procedures, improving surgical outcomes with lower failure rates [5][6] - Focus on innovation, physician engagement, commercial execution, and operational excellence as key priorities [11] - The company plans to expand its product offerings and enhance its market presence, particularly in the outpatient setting [88] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand across the portfolio and highlighted the strong growth momentum [44] - The company is optimistic about achieving positive adjusted EBITDA for the full year of 2025 and beyond [36] - Management noted that the regulatory changes proposed by CMS could provide additional tailwinds for the business [17] Other Important Information - The company announced the retirement of Tony Recoupero, President of Commercial Operations, effective February 2026, with Nicholas Kerr set to take over [26][27] - The company is preparing to launch a new SI joint product in 2026, which is expected to simplify workflow and expand engagement with interventionalists [20][88] Q&A Session Summary Question: Guidance on top line growth and assumptions for the second half - Management highlighted strong first half performance and discussed the potential for continued growth, with a sequential decline expected in Q3 due to seasonality [40][46] Question: Gross margin guidance and pricing pressure - Management provided insights on gross margin expectations, indicating a potential decline due to ASP pressure but also noted sticky improvements from supply chain efficiencies [50][56] Question: Growth of interventional doctors using products - Management confirmed strong growth in interventional doctors and noted that many are using multiple products, enhancing overall engagement [60][62] Question: Outpatient procedure opportunities - Management discussed the shift towards outpatient settings for certain procedures and the potential for increased adoption of their products in this market [66] Question: Expansion of territories and agents - Management confirmed plans to expand to approximately 100 territories over the next 15 months, while also increasing the number of agents to support growth [75][76] Question: Momentum across the product portfolio - Management reported strong demand for existing solutions and rapid adoption of new products, with a focus on maximizing physician potential [81][84] Question: Cash flow and capital deployment priorities - Management indicated a balanced approach to capital deployment, focusing on continued investment in R&D and commercial initiatives while maintaining strong cash flow [103]

Financial Data and Key Metrics Changes - Worldwide revenue for Q2 2025 was $48.6 million, representing a growth of 21.7% year-over-year [30] - U.S. revenue was $46.4 million, reflecting a growth of 22.8% [31] - Adjusted EBITDA was positive at $1 million, compared to an adjusted EBITDA loss of $2.7 million in the prior year [34] - Net loss narrowed to $6.2 million or $0.14 per diluted share, compared to a net loss of $8.9 million or $0.22 per diluted share in the prior year [34] - Cash and marketable securities increased to $145.5 million, marking the first quarter of cash flow breakeven [35] Business Line Data and Key Metrics Changes - U.S. procedure volume increased by 25%, with double-digit growth across all modalities [10][32] - The physician base grew by 25%, reaching a record of 1,440 U.S. physicians performing procedures [22] - Average territory productivity reached $2.1 million, representing a 23% increase year-over-year [25] Market Data and Key Metrics Changes - International revenue was $2.2 million, impacted by delayed regulatory clearance for iFuse Torque in Europe [32] - The company expects iFuse Torque to boost revenue growth in Europe starting in 2026 [32] Company Strategy and Development Direction - The company aims to expand its platform of solutions targeting challenging procedures, improving surgical outcomes with lower failure rates [6][8] - Focus on innovation, physician engagement, commercial execution, and operational excellence as key priorities [12] - Plans to launch new products targeting outpatient settings and expand into new addressable markets [21][86] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand across the portfolio and the effectiveness of their strategy [44] - The company anticipates continued growth driven by strong physician engagement and product adoption [80] - Guidance for full-year revenue was updated to $195 million to $198 million, implying year-over-year growth of approximately 17% to 18% [36] Other Important Information - The company achieved cash flow breakeven ahead of schedule, indicating potential for consistent positive free cash flow [35] - Leadership changes were announced, with Tony Recoupero retiring and Nicholas Kerr promoted to Chief Commercial Officer [27][28] Q&A Session Summary Question: Guidance on top line growth and assumptions for the second half - Management highlighted strong first-half performance and confidence in continued demand, with a sequential decline expected in Q3 due to seasonality [40][46] Question: Gross margin guidance and pricing pressure - Management discussed maintaining gross margin guidance at 78.5% to 79%, embedding assumptions for ASP pressure while acknowledging potential for better-than-expected outcomes [51][56] Question: Growth of interventional doctors using products - Management noted strong growth from interventional doctors and the potential for further engagement with new product launches [60][62] Question: International market contribution and torque rollout in Europe - Management expressed optimism about the torque product's impact in Europe, with expectations for growth in 2026 [95] Question: Capital deployment priorities - Management indicated a focus on continued investment in R&D and commercial initiatives while maintaining a strong cash position [98]