SI-BONE(US:SIBN)2025-08-04 21:30Financial 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]