Hyperfine(US:HYPR)2024-03-21 22:55Financial Data and Key Metrics Changes - For the full-year 2023, the company generated $11 million in revenue, up 62% compared to 2022, with Q4 revenue of $2.7 million, an 89% increase year-over-year [28][41] - Gross profit for the full-year was $4.8 million, compared to $0.9 million in 2022, with a gross margin of 43.1%, up 30 percentage points from the prior year [22][41] - The net loss for Q4 was $10.7 million, equating to a net loss of $0.15 per share, an improvement from a net loss of $13.1 million or $0.19 per share in the same period of the prior year [42] Business Line Data and Key Metrics Changes - The company sold seven Swoop systems in Q4, predominantly through U.S. direct sales, achieving a record average selling price [29] - The implementation programs run by the clinical support team have resulted in strong user advocates across various hospital departments [30] Market Data and Key Metrics Changes - The company is focusing on expanding its commercial efforts into select international markets, having received regulatory clearances such as CE and UKCA approval for its latest AI-powered software [19][71] - There is significant demand for brain MRI technology due to new FDA requirements for monitoring MRIs for patients on amyloid-targeting therapies [11] Company Strategy and Development Direction - The company is committed to three strategic pillars: innovation, clinical evidence, and commercialization, with a focus on expanding its Alzheimer's program [9][15] - The company plans to maintain a robust cadence of innovation to support the use of Swoop, particularly in stroke and Alzheimer's [9][17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth opportunities in Alzheimer's care, highlighting the potential for the Swoop system to improve access and equity in treatment [32][35] - The company expects to achieve revenue in the range of $12 million to $15 million for 2024, with a first-quarter expectation of over $3 million [43] Other Important Information - The company has initiated a new study called Care PMR to assess the use of the Swoop system in detecting ARIA complications in Alzheimer's patients [37] - The company has a cash runway into early 2026, with total cash burn expectations of approximately $40 million for 2024, down from $42 million in 2023 [44][60] Q&A Session Summary Question: What led to the revenue shortfall in Q4? - Management indicated that variability in deal closures affected Q4 performance, but they are confident in the progress made in Q1 [64] Question: Can you explain the guidance for 2024 revenue? - Management provided a range of $12 million to $15 million, emphasizing steady progress in adoption and commercialization while investing in R&D and clinical evidence [50][72] Question: How does the company plan to manage cash flow and burn rate? - The company is focused on maintaining spending discipline while investing in growth initiatives, with a projected cash burn of approximately $40 million for 2024 [53][60]