AtriCure Announces Preliminary Financial Results for First Quarter 2020 and Provides COVID-19 Pandemic Update
April 09 2020 - 8:00AM
Business Wire
AtriCure, Inc. (Nasdaq: ATRC), a leading innovator in treatments
for atrial fibrillation (Afib) and left atrial appendage (LAA)
management, today announced preliminary financial results for the
first quarter 2020 and provided updates in response to the COVID-19
pandemic.
“Through these challenging times, our first priority continues
to be the health, safety, and well being of our employees,
customers, and their patients,” said Michael Carrel, President
& Chief Executive Officer. “While we believe strongly in the
long-term prospects of our business, we expect a reduction in
forecasted sales over the next several months. What has not changed
is the strong foundation and the many unique catalysts for our
business, including the CONVERGE and aMAZE clinical trials, the
EnCompassTM Clamp and the thoracic pain management opportunity. We
expect that once we’re through this period of uncertainty, the
strong foundation we have built will carry us into a future of
sustained growth.”
COVID-19 Pandemic Updates
AtriCure remains committed to the health and safety of our
employees and their families, our customers, suppliers, and
patients through this difficult time. “We are incredibly grateful
for AtriCure employees who continue to passionately pursue our
mission for patients,” said Mr. Carrel. “In addition, the
healthcare workers on the front lines are real-life heroes and will
forever deserve our gratitude for their efforts.” The company has
taken important action to mitigate potential health and safety
risks posed by the COVID-19 pandemic while ensuring the continuity
of operations. These actions include:
Health and Safety: In a continuing
effort to protect the health and safety of our workforce and their
families and communities and based on applicable orders and
recommendations from federal and local government and health
agencies, employees have been enabled to work from home. There are
certain exceptions to ensure the continuity of customer support
services at the request of physician and hospital customers, as
well as critical manufacturing operations noted below. The company
has also implemented other measures, such as restricting travel
where possible, to protect the health and safety of our customers,
their patients and our employees.
Maintaining Operations: Consistent
with applicable exceptions, AtriCure is maintaining streamlined
manufacturing, assembly, fulfillment and other related processes in
order to continue providing products to our customers. For company
employees involved in such operation-critical processes, we have
implemented a number of recommended best practices to protect the
health and safety of our workforce.
Expense Management: AtriCure has
implemented several measures to reduce its operating expenses in
response to the COVID-19 outbreak. The company is delaying certain
capital investments and hiring, reducing executive management and
board compensation, and reducing other non-essential sales, general
and administrative expenses where possible, without sacrificing
investments in critical strategic initiatives.
Volunteer Efforts: Many company
employees have dedicated their time and expertise to helping
hospital customers in response to the pandemic. These efforts
include working with local hospitals to produce essential equipment
and expanding available volunteer time off for those employees who
are nurses and healthcare practitioners to spend time serving where
possible.
Preliminary First Quarter Results and Update on 2020
Financial Guidance
First quarter 2020 preliminary revenue is expected to be $53.2
million, representing a decrease of $0.7 million or (1.4)%,
compared to first quarter 2019 revenue.
Due to the unpredictability of the duration and the magnitude of
this impact from the COVID-19 pandemic, AtriCure is withdrawing its
previously announced financial guidance for 2020, which was issued
on February 18, 2020. AtriCure plans to provide additional
information, to the extent practical, during its first quarter
earnings call which is expected to occur on April 29, 2020.
About AtriCure
AtriCure, Inc. provides innovative technologies for the
treatment of Afib and related conditions. Afib affects more than 33
million people worldwide. Electrophysiologists and cardiothoracic
surgeons around the globe use AtriCure technologies for the
treatment of Afib and reduction of Afib related complications.
AtriCure’s Isolator® Synergy™ Ablation System is the first and only
medical device to receive FDA approval for the treatment of
persistent Afib. AtriCure’s AtriClip® Left Atrial Appendage
Exclusion System products are the most widely sold LAA management
devices worldwide. For more information, visit AtriCure.com or
follow us on Twitter @AtriCure.
Forward-Looking Statements
This press release contains “forward-looking statements”
regarding the potential future impact of the COVID-19 outbreak
within the meaning of the Private Securities Litigation Reform Act
of 1995 and are provided under the protection of the safe harbor
for forward-looking statements provided by that Act. These
statements involve risks and uncertainties that could cause results
to differ materially from those projected, including, but not
limited to, the pendency and impact of the COVID-19 outbreak,
government actions taken in response to or in connection with
COVID-19, material delays and cancellations of procedures related
to COVID-19, delayed spending by healthcare providers in connection
with COVID-19, supply chain disruptions related to COVID-19, and
other factors detailed from time to time in the Company’s SEC
reports, including its most recent annual report on Form 10-K and
subsequent quarterly reports on Form 10-Q. The Company encourages
you to consider all of these risks, uncertainties and other factors
carefully in evaluating the forward-looking statements contained in
this press release. As a result of these matters, changes in facts,
assumptions not being realized or other circumstances, the
Company's actual results may differ materially from the expected
results discussed in the forward-looking statements contained in
this press release. The forward-looking statements made in this
press release are made only as of the date of this press release,
and the Company undertakes no obligation to update them to reflect
subsequent events or circumstances.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200409005119/en/
Andy Wade AtriCure, Inc. Chief Financial Officer (513) 755-4564
awade@atricure.com
Lynn Pieper Lewis Gilmartin Group Investor Relations (415)
937-5402 lynn@gilmartinir.com
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