NeuroPace projects 2025 revenue of $92-$96 million and aims for 20% revenue CAGR over three years.
Quiver AI Summary
NeuroPace, Inc., a medical device company specializing in epilepsy treatment, announced its 2025 financial guidance, estimating revenues between $92 million and $96 million, which reflects a growth of 15.5% to 20.5% from the anticipated 2024 revenue. The company also projected a gross margin of 73% to 75%, with total operating expenses estimated at $92 million to $95 million, including about $11 million in stock-based compensation. NeuroPace outlined its three-year strategic objectives, aiming for over 20% revenue compound annual growth rate (CAGR), expanding indications for its RNS System to include additional patient groups, enhancing neuromodulation efficiency through AI, and increasing patient and referral awareness through marketing initiatives while achieving cash flow breakeven.
Potential Positives
- 2025 revenue guidance of $92 million to $96 million indicates expected growth of 15.5% to 20.5% compared to the midpoint of the 2024 revenue range.
- Projected gross margin of 73% to 75% demonstrates strong profitability potential for the company's operations.
- Three-year target of achieving cash flow breakeven signals a path towards financial stability and sustainability.
Potential Negatives
- 2025 revenue guidance of $92 million to $96 million represents only 15.5% to 20.5% growth from the expected 2024 revenue, indicating potential challenges in accelerating growth.
- Total operating expenses for 2025 are projected to be $92 million to $95 million, which may raise concerns about the company's cost management and profitability.
- The press release contains extensive forward-looking statements, highlighting uncertainties regarding market acceptance, regulatory compliance, and potential variability in financial performance, which may contribute to investor concerns.
FAQ
What is NeuroPace's revenue guidance for 2025?
NeuroPace's revenue guidance for 2025 is between $92 million and $96 million.
What is the expected gross margin for NeuroPace in 2025?
The expected gross margin for NeuroPace in 2025 is between 73% and 75%.
What are NeuroPace’s three-year revenue growth targets?
NeuroPace aims for a 20% compound annual growth rate (CAGR) in revenue over the next three years.
How does NeuroPace plan to expand its market?
NeuroPace plans to expand its market by targeting Idiopathic Generalized and Pediatric drug-resistant epilepsy patients.
What unique treatment does NeuroPace offer for epilepsy?
NeuroPace provides the RNS System, a brain-responsive platform that delivers personalized, real-time treatment for drug-resistant epilepsy.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$NPCE Insider Trading Activity
$NPCE insiders have traded $NPCE stock on the open market 29 times in the past 6 months. Of those trades, 0 have been purchases and 29 have been sales.
Here’s a breakdown of recent trading of $NPCE stock by insiders over the last 6 months:
- LTD. KCK has made 0 purchases and 29 sales selling 322,928 shares for an estimated $1,878,231.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$NPCE Hedge Fund Activity
We have seen 20 institutional investors add shares of $NPCE stock to their portfolio, and 24 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- ARMISTICE CAPITAL, LLC added 480,000 shares (+inf%) to their portfolio in Q3 2024, for an estimated $3,345,600
- KCK LTD. removed 350,266 shares (-6.2%) from their portfolio in Q4 2024, for an estimated $3,919,476
- DEUTSCHE BANK AG\ removed 241,429 shares (-36.9%) from their portfolio in Q3 2024, for an estimated $1,682,760
- NORTHERN TRUST CORP added 117,647 shares (+279.0%) to their portfolio in Q3 2024, for an estimated $819,999
- ACADIAN ASSET MANAGEMENT LLC removed 65,352 shares (-94.8%) from their portfolio in Q3 2024, for an estimated $455,503
- MILLENNIUM MANAGEMENT LLC added 53,956 shares (+7.9%) to their portfolio in Q3 2024, for an estimated $376,073
- MAN GROUP PLC removed 38,470 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $268,135
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
– 2025 revenue guidance of $92 million to $96 million –
– 2025 gross margin guidance of 73% to 75% –
– Three-year targets of 20% revenue CAGR and achievement of cash flow breakeven –
MOUNTAIN VIEW, Calif., Jan. 28, 2025 (GLOBE NEWSWIRE) -- NeuroPace, Inc. (Nasdaq: NPCE), a medical device company focused on transforming the lives of people living with epilepsy, today issued 2025 financial guidance targets at an in-person and virtual Investor Day today in New York, New York (a replay can be viewed virtually here , and the accompanying slide presentation can be accessed here ).
2025 Financial Guidance and Three-Year Strategic Objectives
NeuroPace provided initial financial guidance targets for 2025:
- Revenue of $92 million – $96 million, representing growth of 15.5% – 20.5% versus the midpoint of the expected 2024 revenue range of $79.4 million – $79.9 million
- Gross margin of 73% – 75%
-
Total operating expenses of $92 million – $95 million, including approximately $11 million in stock-based compensation
Management also outlined its long-range plan of becoming the recognized leader in drug-resistant epilepsy therapy and fully develop the potential of the RNS System. To this end, the Company is focused on achieving the following three-year strategic objectives:
- 20%+ revenue CAGR
- Indication expansion to include Idiopathic Generalized and Pediatric drug-resistant epilepsy patients
- Become the neuromodulation category leader in efficiency and ease of use with AI Tools and Remote Programming
- Significantly expand patient and referral awareness and access through direct-to-consumer campaigns and Project CARE
-
Achieve cash flow break even
Event Webcast
A replay of the event webcast can be accessed here , and the accompanying slide presentation can be accessed here .
About NeuroPace, Inc.
Based in Mountain View, Calif., NeuroPace is a medical device company focused on transforming the lives of people living with epilepsy by reducing or eliminating the occurrence of debilitating seizures. Its novel and differentiated RNS System is the first and only commercially available, brain-responsive platform that delivers personalized, real-time treatment at the seizure source. This platform can drive a better standard of care for patients living with drug-resistant epilepsy and has the potential to offer a more personalized solution and improved outcomes to the large population of patients suffering from other brain disorders.
Forward-Looking Statements
This press release may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “aims,” “anticipates,” “believes,” “could,” “estimates,” “expects,” “forecasts,” “goal,” “intends,” “may,” “plans,” “possible,” “potential,” “seeks,” “will” and variations of these words or similar expressions that are intended to identify forward-looking statements, although not all forward-looking statements contain these words. Forward-looking statements in this press release include, but are not limited to, statements regarding: NeuroPace’s anticipated revenue, gross margin and operating expenses for the year ending 2025; and NeuroPace’s three-year strategic objectives and the Company’s ability to achieve these objectives on the expected timelines. Actual results or events could differ materially from the plans, intentions and expectations disclosed in these forward-looking statements as a result of various factors, including: actual operating results may differ significantly from any guidance provided; uncertainties related to market acceptance and adoption of NeuroPace’s RNS System and impacts to NeuroPace’s revenue for 2025 and in the future; risks that NeuroPace’s operating expenses could be higher than anticipated and that the Company’s gross margin may be lower than forecast; risks related to the pricing of the RNS System and availability of adequate reimbursement for the procedures to implant the RNS System and for clinicians to provide ongoing care for patients treated with the RNS System; risks related to regulatory compliance and expectations for regulatory approvals to expand the market for NeuroPace’s RNS System; risks related to product development; and other important factors. These and other risks and uncertainties include those described more fully in the section titled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and elsewhere in NeuroPace’s public filings with the U.S. Securities and Exchange Commission (SEC), including its Quarterly Report on Form 10-Q for the quarter ended September 30, 2024, filed with the SEC on November 12, 2024, as well as any other reports that it may file with the SEC in the future. Forward-looking statements contained in this announcement are based on information available to NeuroPace as of the date hereof. NeuroPace undertakes no obligation to update such information except as required under applicable law. These forward-looking statements should not be relied upon as representing NeuroPace’s views as of any date subsequent to the date of this press release and should not be relied upon as a prediction of future events. In light of the foregoing, investors are urged not to rely on any forward-looking statement in reaching any conclusion or making any investment decision about any securities of NeuroPace.
Investor Contact:
Jeremy Feffer
Managing Director
LifeSci Advisors
[email protected]