• Inari Medical Reports Second Quarter 2022 Financial Results

    Source: Nasdaq GlobeNewswire / 03 Aug 2022 16:05:01   America/New_York

    IRVINE, Calif., Aug. 03, 2022 (GLOBE NEWSWIRE) -- Inari Medical, Inc. (NASDAQ: NARI) (“Inari”), a medical device company with a mission to treat and transform the lives of patients suffering from venous and other diseases, today reported financial results for its second quarter ended June 30, 2022.

    Second Quarter Revenue and Business Highlights

    • Generated revenue of $92.7 million in the second quarter of 2022, up 7% sequentially from the first quarter, and 46% over the same quarter last year.
    • Accelerated the expansion of our US commercial footprint, finishing the quarter with over 270 territories, just shy of our full year target.
    • Announced FDA clearance and limited market release of two new products, one of which targets patients outside of our core TAM.
    • Ended the quarter with $330.5 million in cash, cash equivalents and short-term investments.

    “We continue to execute crisply across all of our growth drivers despite the ongoing challenges to the med tech operating environment”, said Bill Hoffman, CEO of Inari Medical. “We produced robust revenue growth, hired our largest class of new sales professionals and initiated the limited market release of two new products, including one that targets patients beyond our core TAM. We remain committed to our mission, and to ideas bigger and more important than just business.   We are thankful for your support of our work.”   

    Second Quarter 2022 Financial Results

    Revenue was $92.7 million for the second quarter of 2022, compared to $86.8 million for the prior quarter and $63.5 million for the second quarter of 2021. The increase over prior periods was driven by continued U.S. commercial expansion and new product introductions.

    Gross profit was $82.4 million for the second quarter of 2022, compared to $58.6 million for the same period of 2021. Gross margin was 88.8% for the second quarter of 2022, compared to 92.4% for the same period in the prior year, lower primarily due to the move to our larger production facility in the fourth quarter of 2021.

    Operating expenses for the second quarter of 2022 were $91.7 million, compared to $54.5 million for the second quarter of 2021. The increase was mainly driven by personnel-related expenses as we increased headcount to fund the expansion of the commercial, research and development, clinical, and support organizations.

    Net loss was $10.2 million for the second quarter of 2022 and net loss per share was $0.19 on a weighted-average basic and diluted share count of 53.2 million, compared to a net income of $4.1 million and a net income per share of $0.08 and $0.07 on a weighted-average basic share count of 49.7 million and diluted share count of 55.6 million, respectively, in the same period of the prior year.

    Full-Year 2022 Revenue Guidance

    For the full year 2022, we are reaffirming our revenue guidance range of $360 million to $370 million.

    Webcast and Conference Call Information

    Inari Medical will host a conference call to discuss the second quarter 2022 financial results after market close on Wednesday, August 3, 2022 at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time. The conference call can be accessed live by registering here.

    About Inari Medical, Inc.

    Inari Medical, Inc. is a medical device company with a mission to treat and transform the lives of patients suffering from venous and other diseases. Our current product offering consists of two minimally invasive, novel catheter-based mechanical thrombectomy devices that are designed to remove large clots from large vessels and eliminate the need for thrombolytic drugs. The company purpose-built its products for the specific characteristics of the venous system and the treatment of the two distinct manifestations of venous thromboembolism, or VTE: deep vein thrombosis and pulmonary embolism. The ClotTriever system is 510(k)-cleared by FDA and CE marked for the non-surgical removal of clot from peripheral blood vessels, including for the use in the treatment of deep vein thrombosis. The FlowTriever system is 510(k)-cleared by FDA and CE marked for the non-surgical removal of clot from peripheral blood vessels, including for the use in the treatment of pulmonary embolism and clot in transit in the right atrium.

    Forward Looking Statements

    Statements in this press release may contain “forward-looking statements” that are subject to substantial risks and uncertainties. Forward-looking statements contained in this press release may be identified by the use of words such as “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “could,” “intend,” “target,” “project,” “contemplate,” “believe,” “estimate,” “predict,” “potential” or “continue” or the negative of these terms or other similar expressions. Forward-looking statements include estimated full year 2022 revenue, and are based on Inari’s current expectations, forecasts, and assumptions, are subject to inherent uncertainties, risks and assumptions that are difficult to predict, and actual outcomes and results could differ materially due to a number of 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 Operation” and elsewhere in its Annual Report on Form 10-K for the period ended December 31, 2021, and in its other reports filed with the U.S. Securities and Exchange Commission. Forward-looking statements contained in this announcement are based on information available to Inari as of the date hereof and are made only as of the date of this release. Inari undertakes no obligation to update such information except as required under applicable law. These forward-looking statements should not be relied upon as representing Inari’s views as of any date subsequent to the date of this press release. 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 Inari.

    Investor Contact:

    ICR Westwicke
    Caroline Corner
    Phone +1-415-202-5678
    caroline.corner@westwicke.com

    INARI MEDICAL, INC.
    Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)
    (in thousands, except share and per share data)
    (unaudited)

      Three Months Ended June 30,  Six Months Ended June 30, 
      2022  2021  2022  2021 
    Revenue $92,744  $63,453  $179,496  $120,850 
    Cost of goods sold  10,347   4,814   20,314   9,437 
    Gross profit  82,397   58,639   159,182   111,413 
    Operating expenses            
    Research and development  18,569   11,630   34,704   19,793 
    Selling, general and administrative  73,156   42,897   136,888   79,795 
    Total operating expenses  91,725   54,527   171,592   99,588 
    (Loss) income from operations  (9,328)  4,112   (12,410)  11,825 
    Other income (expense)            
    Interest income  214   35   264   103 
    Interest expense  (73)  (74)  (146)  (147)
    Other income (expense)  252   7   228   (34)
    Total other income (expenses)  393   (32)  346   (78)
    (Loss) income before income taxes  (8,935)  4,080   (12,064)  11,747 
    Provision for income taxes  1,252   12   1,252   210 
    Net (loss) income $(10,187) $4,068  $(13,316) $11,537 
    Other comprehensive income (loss)            
    Foreign currency translation adjustments  (291)  57   (408)  (123)
    Unrealized (loss) gain on available-for-sale debt securities  (125)  (6)  (373)  12 
    Total other comprehensive (loss) income  (416)  51   (781)  (111)
    Comprehensive (loss) income $(10,603) $4,119  $(14,097) $11,426 
    Net (loss) income per share            
    Basic $(0.19) $0.08  $(0.26) $0.23 
    Diluted $(0.19) $0.07  $(0.26) $0.21 
    Weighted average common shares used to compute net
    (loss) income per share
                
    Basic  53,183,767   49,669,652   52,075,399   49,512,800 
    Diluted  53,183,767   55,595,016   52,075,399   55,665,193 

    INARI MEDICAL, INC.
    Condensed Consolidated Balance Sheets
    (in thousands, except share data)
    (unaudited)

      June 30,
    2022
      December 31,
    2021
     
    Assets      
    Current assets      
    Cash and cash equivalents $79,724  $92,752 
    Short-term investments in debt securities  250,772   83,348 
    Accounts receivable, net  49,171   42,351 
    Inventories, net  26,674   21,053 
    Prepaid expenses and other current assets  4,997   5,694 
    Total current assets  411,338   245,198 
    Property and equipment, net  20,076   16,471 
    Operating lease right-of-use assets  46,653   44,909 
    Deposits and other assets  6,195   981 
    Long-term investments in debt securities     3,983 
    Total assets $484,262  $311,542 
    Liabilities and Stockholders' Equity      
    Current liabilities      
    Accounts payable $4,748  $6,541 
    Payroll-related accruals  27,695   24,433 
    Accrued expenses and other current liabilities  8,076   10,737 
    Operating lease liabilities, current portion  465   802 
    Total current liabilities  40,984   42,513 
    Operating lease liabilities, noncurrent portion  28,196   28,404 
    Other long-term liability  1,304   1,416 
    Total liabilities  70,484   72,333 
    Commitments and contingencies      
    Stockholders' equity      
    Preferred stock, $0.001 par value, 10,000,000 shares authorized, no shares
    issued and outstanding as of June 30, 2022 and December 31, 2021
          
    Common stock, $0.001 par value, 300,000,000 shares
    authorized as of June 30, 2022 and December 31, 2021; 53,305,825
    and 50,313,452 shares issued and outstanding as of June 30, 2022 and
    December 31, 2021, respectively
      53   50 
    Additional paid in capital  445,807   257,144 
    Accumulated other comprehensive loss  (1,183)  (402)
    Accumulated deficit  (30,899)  (17,583)
    Total stockholders' equity  413,778   239,209 
    Total liabilities and stockholders' equity $484,262  $311,542 

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