Senseonics Holdings, Inc. Reports Fourth Quarter and Full Year 2017 Financial Results

Published: Mar 13, 2018

GERMANTOWN, Md.--(BUSINESS WIRE)-- Senseonics Holdings Inc. (NYSE-American: SENS), a medical technology company focused on the development and commercialization of a long-term, implantable continuous glucose monitoring (CGM) system for people with diabetes, today reported financial results for the fourth quarter and full year ended December 31, 2017.

RECENT HIGHLIGHTS & ACCOMPLISHMENTS:

  • FDA clinical chemistry and toxicology device panel scheduled for March 29, 2018 to review the Eversense system
  • Launched Eversense XL, the world’s longest CGM sensor life with up to 180 days continuous use, in the United Kingdom in fourth quarter 2017 and most recently into Sweden
  • Revenue of $2.9 million in the fourth quarter 2017 and $6.4 million in the full year 2017
  • Completed convertible notes offering which resulted in $51.3 million in aggregate net proceeds

“We are pleased with our fourth quarter results and accomplishments through 2017 as well as the upcoming opportunity to present our strong clinical data to the FDA advisory panel, which is a milestone in building the Eversense franchise,” said Tim Goodnow, President and Chief Executive Officer of Senseonics. “We expect that the upcoming year will be transformational as we prepare to introduce Eversense to the U.S. market, continue working with our distribution partners to expand our presence in Europe and continue with the launch of Eversense XL in Europe.”

FOURTH QUARTER 2017 RESULTS:

Revenue was $2.9 million for the fourth quarter of 2017, compared to $0.3 million for the fourth quarter of 2016.

Fourth quarter 2017 sales and marketing expenses increased $1.6 million year-over year, to $2.4 million. The increase in sales and marketing expenses was primarily driven by an increase in compensation expense associated with hiring efforts to prepare for a commercial launch of Eversense in the United States and to support and expand the distribution of Eversense in Europe.

Fourth quarter 2017 research and development expenses increased $2.9 million year-over-year, to $8.4 million. The increase in research and development expenses was primarily driven by the on-going support of our PMA application as well as additional feasibility trials.

Fourth quarter 2017 general and administrative expenses increased $0.8 million, year-over-year, to $3.8 million. The increase in general and administration expenses was primarily driven by an increase in compensation, legal and other administrative expense associated with supporting operational growth.

Net loss was $16.3 million, or $0.12 per share, in the fourth quarter of 2017, compared to $9.9 million, or $0.11 per share, in the fourth quarter of 2016. Fourth quarter 2017 net loss per share was based on 136.8 million weighted average shares outstanding, compared to 93.4 million weighted average shares outstanding in the fourth quarter of 2016.

FULL YEAR 2017 RESULTS:

Revenue for the year ended December 31, 2017 was $6.4 million, compared to $0.3 million in 2016.

Sales and marketing expenses for the year ended December 31, 2017 increased $4.1 million year-over year, to $6.9 million, compared to $2.7 million for 2016. The increase in sales and marketing expenses was primarily related to investments in additional headcount in support of the preparation for a potential U.S. commercial launch of Eversense and support of the expanding commercial efforts of Eversense in Europe.

Research and development expenses for the year ended December 31, 2017 increased $4.4 million year-over-year, to $30.7 million, compared to $26.3 million for 2016. The increase in research and development expenses was primarily driven by product development expenses for future versions of Eversense and associated clinical trial costs.

General and administrative expenses for the year ended December 31, 2017 increased $2.3 million year-over-year, to $15.3 million, compared to $13.0 million for 2016. The increase in general and administration expenses was driven primarily by an increase in personnel-related expenses, increased facility expenses and increased legal and audit expenses.

Net loss was $59.1 million, or $0.51 per share, for the year ended December 31, 2017, compared to $43.9 million, or $0.49 per share, for 2016. Net loss per share for 2017 was based on 116.0 million weighted average shares outstanding, compared to 89.2 million weighted average shares outstanding for 2016.

As of December 31, 2017, cash, cash equivalents, and marketable securities were $36.5 million and outstanding indebtedness was $24.4 million, compared to cash, cash equivalents, and marketable securities of $20.3 million and outstanding indebtedness of $19.1 million, as of December 31, 2016.

2018 FINANCIAL OUTLOOK

Management projects revenue for full year 2018 to be in the range of $18.0 to $20.0 million.

CONFERENCE CALL AND WEBCAST INFORMATION

Company management will host a conference call at 4:30 pm (Eastern Time) today, March 13, 2018, to discuss these financial results and recent business developments. This conference call can be accessed live by telephone or through Senseonics’ website.

 

         

 

Live Teleconference Information:

Dial in number: (877)883-0383

Entry Number: 2850172

International dial in: (412)902-6506

         

Live Webcast Information:

Visit http://www.senseonics.com and select the “Investor Relations” section

             

A replay of the call can be accessed on Senseonics’ website http://www.senseonics.com under “Investor Relations.”

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