Senseonics posts fourth quarter, 2020 results
GCM Growth
Senseonics Holdings, Inc., a medical technology company that develops and commercializes long-term, implantable continuous glucose monitoring (CGM) systems for people with diabetes, reported its fourth quarter and full year 2020 financial results. Senseonics' CGM systems, Eversense® and Eversense® XL, include a small sensor inserted completely under the skin that communicates with a smart transmitter worn over the sensor. The glucose data are automatically sent every 5 minutes to a mobile app on the user's smartphone.
The Germantown, Maryland-based company generated fourth quarter 2020 revenue of $3.9 million largely driven by orders to support the European installed base up to the Ascensia Diabetes Care commercial transition, raised $175 million of proceeds from equity offerings in the first quarter of 2021 to strengthen the balance sheet and reduced fourth quarter operating expenses by $13.8 million, compared to the prior year period, resulting from the execution of strategic cost reductions and the streamlined operational focus.
After a collaboration with Ascensia Diabetes Care, the latter initiated Eversense® sales and marketing activities in Europe in select markets on February 1, 2021. Eversense implantable CGM CPT codes were added to the 2021 Medicare Physician Fee Schedule improving national reimbursement payment availability for implantable CGM systems and physician services.
With the Eversense 90-Day CGM System, users can actively manage their diabetes simply and with confidence. Eversense provides continuous blood glucose monitoring for up to 90 days via an under-the-skin sensor, a removable and rechargeable smart transmitter, and a convenient app for real-time diabetes monitoring and management.
The Eversense® Continuous Glucose Monitoring (CGM) System is indicated for continually measuring glucose levels in persons age 18 and older with diabetes for up to 90 days. The system is indicated for use to replace fingerstick blood glucose (BG) measurements for diabetes treatment decisions. Fingerstick BG measurements are still required for calibration twice per day, and when symptoms do not match CGM information or when taking medications of the tetracycline class. The sensor insertion and removal procedures are performed by a health care provider. The Eversense CGM System is a prescription device.
According to Tim Goodnow, Ph.D., president and chief executive officer of Senseonics, “We are very pleased with our fourth quarter results, our commercial collaboration agreement with Ascensia and the success of our recent financings. These steps conclude a strategically transformational year for Senseonics.”
Dr. Goodnow added, “We believe Ascensia’s commercial experience and global footprint will help grow the market for Eversense in 2021 and beyond. We are working with Ascensia to further expand commercial activity in the coming months. These collaborative efforts include developing plans for new programs designed to raise patient and provider awareness, reduce patient cost, and continually expand global access for Eversense.”
While total revenue for 2020 was $4.9 million compared to total revenue of $21.3 million in 2019, 2020 gross profit increased by $2.1 million year-over-year, to ($17.4) million. Global net revenue to Senseonics for the full year 2021 is expected to be in the range of $12 million to $15 million.