Edwards Lifesciences (NYSE:EW) 2026 Conference Transcript

Summary of Edwards Lifesciences Conference Call Company Overview - Company: Edwards Lifesciences (NYSE: EW) - Industry: Medical Technology, specifically focusing on heart valve therapies and critical care technologies Key Points TAVR Market Dynamics - The TAVR (Transcatheter Aortic Valve Replacement) market experienced an acceleration in growth, reaching 11% revenue growth in the latest quarter, compared to a market growth of 7% to 8% [5][6] - Factors contributing to this growth include the introduction of new therapies like EVOQUE and positive clinical trial results from the EARLY TAVR Trial [6][7] - Hospitals are returning to a status quo, adjusting their capacities to accommodate new therapies, which had previously lagged [6] Clinical Trials and Regulatory Changes - The upcoming NCD (National Coverage Determination) guidelines in the U.S. are expected to evolve, similar to changes seen in Europe in 2025, which may further influence TAVR adoption [8][12] - Feedback on the NCD process has been limited, with a draft expected in June or July [12] - The company is optimistic about the potential benefits of TAVR for patients with moderate aortic stenosis, with trial results anticipated in December [35][36] Market Share and Pricing - Edwards gained market share in Europe due to a competitor exiting the region, reallocating their position across competitors [20] - Pricing for TAVR has remained stable globally, with expectations of average selling price compression as hospitals increase volumes [21][23] TMTT (Transcatheter Mitral and Tricuspid Therapies) - The TMTT segment is growing, with a focus on both mitral and tricuspid therapies, although mitral TEER (Transcatheter Edge-to-Edge Repair) currently represents a larger share of the business [44][51] - The company is awaiting data on tricuspid TEER and has enrolled trials for functional mitral regurgitation (FMR) [49][50] Innovations and Acquisitions - Recent acquisitions include JC Medical, focusing on aortic regurgitation, and Cordella, a heart failure management technology [101][102] - The company emphasizes the importance of innovation in sustaining growth in surgical and transcatheter therapies [86][87] Financial Outlook - Edwards maintains a sales growth guidance of 8%-10% for the company and 6%-8% for TAVR, reflecting increased confidence in their growth trajectory [116][120] - The company plans to continue share repurchases, having bought back nearly $900 million in stock last year [111][113] Broader Market Context - The MedTech sector has faced challenges, but Edwards remains optimistic about its growth potential and the number of untreated patients [122][124] - The company aims to increase awareness of mitral and tricuspid diseases, which are currently under-treated compared to aortic stenosis [65][71] Future Expectations - In the next year, discussions will likely focus on the outcomes of the NCD, the evolution of U.S. guidelines, and the penetration of new products like PASCAL, EVOQUE, and SAPIEN M3 into the market [126][128] Additional Insights - The company is focused on educating both patients and physicians about heart diseases and treatment options, which is crucial for increasing treatment rates [77][82] - The role of robotic surgery in cardiac procedures remains uncertain, but the company welcomes advancements in this area [92][93]