Trisalus Life Sciences, Inc. ((TLSI)) has held its Q1 earnings call. Read on for the main highlights of the call.
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The recent earnings call for Trisalus Life Sciences, Inc. highlighted a generally positive sentiment, underscored by strong revenue growth and strategic advancements. The company reported significant progress in the commercialization of its TriNav technology and the completion of Phase 1 trials for nelitolimod, which are expected to pave the way for future partnerships. However, the call also acknowledged challenges such as a slight dip in gross margins and the absence of anticipated positive EBITDA in 2025.
Significant Revenue Growth
Trisalus Life Sciences reported an impressive $9.2 million in net sales for the first quarter of 2025, marking a 42% increase compared to the same period in 2024. This growth also represented an 11% sequential gain over the fourth quarter of 2024, showcasing the company’s strong market momentum and effective sales strategies.
Successful Completion of Phase 1 Trials for Nelitolimod
The completion of Phase 1 trials for nelitolimod marks a significant milestone for Trisalus. This achievement allows the company to shift focus towards a partnership strategy, which aims to eliminate development expenses while preserving long-term value, thus enhancing its strategic positioning in the market.
Increase in Unique Ordering Accounts
The first quarter of 2025 saw a 39% increase in unique ordering accounts compared to the previous year, with 32 new accounts added. This expansion reflects the growing demand for Trisalus’s offerings and its successful efforts in broadening its customer base.
New Reimbursement Code for TriNav
A new HCPCS code, C8004, was issued by CMS, providing coverage for mapping procedures using TriNav. This development effectively doubles the reimbursable use of the technology, potentially leading to increased adoption and utilization in clinical settings.
Strong Financial Position and Fundraising
Trisalus bolstered its financial position by raising approximately $22 million in gross proceeds through a private placement. This capital infusion strengthens the company’s balance sheet, providing the necessary resources to fund further growth and strategic initiatives.
Improvement in Operating Losses
Operating losses for the first quarter of 2025 were significantly reduced to $7.3 million, down from $11.7 million in the same period of 2024. This improvement is attributed to increased sales and a reduction in R&D expenses, highlighting the company’s operational efficiencies.
Decrease in Gross Margin
The gross margin for Q1 2025 was reported at 84%, slightly lower than the 85% recorded in Q1 2024. This decrease was primarily due to reduced factory volumes during a clean room expansion, a temporary challenge that the company is addressing.
Not Anticipating Positive EBITDA or Cash Flow in 2025
Despite its strategic investments, Trisalus does not expect to achieve positive EBITDA or cash flow in 2025. The company remains focused on expanding its commercial resources and developing new clinical applications, which are crucial for its long-term growth strategy.
Forward-Looking Guidance
Looking ahead, Trisalus Life Sciences is optimistic about its growth trajectory, anticipating at least a 50% revenue increase for 2025. The company plans to continue its expansion into the liver embolization market and develop new clinical applications. However, it does not foresee achieving EBITDA or cash flow positivity within the year, as it prioritizes strategic investments in commercial and clinical areas.
In summary, the earnings call for Trisalus Life Sciences, Inc. conveyed a positive outlook, driven by robust revenue growth and strategic advancements. While challenges such as a slight decrease in gross margins and the lack of anticipated positive EBITDA in 2025 were noted, the company’s commitment to strategic investments and market expansion remains strong. Investors and stakeholders can look forward to continued growth and development in the coming quarters.