Axonics® Reports Fourth Quarter and Fiscal Year 2021 Financial Results

February 24, 2022 at 4:01 PM EST
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Total revenue of $53.1 million in 4Q21, an increase of 53% year over year

Fiscal year 2022 revenue outlook of $234 million, an increase of 30% year over year

IRVINE, Calif.--(BUSINESS WIRE)--Feb. 24, 2022-- Axonics, Inc. (Nasdaq: AXNX), a global medical technology company that is developing and commercializing novel products for the treatment of bladder and bowel dysfunction, today reported financial results for the three months and fiscal year ended December 31, 2021.

“We are proud of our fourth quarter and fiscal year 2021 results considering the disruption Covid-19 has had on elective procedures in the U.S. and around the world,” said Raymond W. Cohen, chief executive officer of Axonics. “In 2021, in addition to strong commercial execution, Axonics made important progress on several strategic initiatives, including the successful acquisition and launch of Bulkamid® in the U.S., growth of our commercial field team, expansion of our in-house manufacturing capabilities, and the FDA submission of our recharge-free SNM system.”

Cohen continued, “We expect to begin shipping our long-lived, recharge-free SNM system in early second quarter following FDA approval. We believe this new device will set a new standard for what is possible in the SNM category. We are also in the final stages of launching a national television direct-to-consumer advertising campaign to broaden awareness for Axonics therapies that treat all forms of incontinence. We remain confident that our commitment to innovation, quality and providing physicians and patients strong support will continue to drive market expansion and advance Axonics on its path to market leadership.”

Fourth Quarter 2021 Financial Results

  • Net revenue was $53.1 million in fourth quarter 2021, an increase of 53% compared to $34.8 million in the prior year period.
    • Sacral neuromodulation (SNM) revenue was $44.4 million, of which $43.7 million was generated in the U.S. and the remainder in select international markets.
    • Bulkamid revenue was $8.7 million, of which $5.8 million was generated in the U.S. and the remainder in international markets.
  • Gross margin was 66.6% in fourth quarter 2021 compared to 63.6% in the prior year period.
  • Operating expenses were $53.1 million in fourth quarter 2021 compared to $33.0 million in the prior year period.
  • Net loss was $15.2 million in fourth quarter 2021 compared to a net loss of $11.3 million in the prior year period.
  • As of December 31, 2021, cash and cash equivalents were $220.9 million.

Fiscal Year 2021 Financial Results

  • Net revenue was $180.3 million in fiscal year 2021, an increase of 62% compared to $111.5 million in the prior year.
    • SNM revenue was $157.6 million, an increase of 41% compared to $111.5 million in the prior year.
    • Bulkamid revenue was $22.7 million. (1)
  • Gross margin was 64.2% in fiscal year 2021 compared to 60.2% in the prior year.
  • Operating expenses were $187.5 million in fiscal year 2021 compared to $120.9 million in the prior year.
  • Net loss was $80.1 million in fiscal year 2021 compared to a net loss of $54.9 million in the prior year.

___________

(1) The acquisition of Bulkamid was completed on February 25, 2021. Reported revenue includes sales from February 26, 2021 onwards.

Fiscal Year 2022 Revenue Outlook

Axonics continues to closely monitor the impact that the Covid-19 pandemic has had, and continues to have, on elective procedure volumes.

Axonics’ fiscal year 2022 revenue outlook is as follows:

  • Total company revenue of $234 million, an increase of 30% compared to fiscal year 2021.
  • SNM revenue of $197 million, an increase of 25% compared to fiscal year 2021.
  • Bulkamid revenue of $37 million, an increase of 63% compared to fiscal year 2021.

Webcast and Conference Call

Axonics will host a conference call today, February 24, 2022, at 4:30 p.m. Eastern Time, to discuss financial results and recent business developments. The live teleconference may be accessed by dialing 866-687-5771 (U.S.) or 409-217-8725 (international) and using passcode 6189042.

A live webcast of the conference call may be accessed by visiting the Events & Presentations section of the Axonics investor relations website. A replay of the webcast will be available shortly after the conclusion of the call and will be archived on the Axonics website.

About Axonics

Based in Irvine, Calif., Axonics is a global medical technology company that is developing and commercializing novel products for adults with bladder and bowel dysfunction. Axonics recently ranked No. 1 on the 2021 Deloitte Technology Fast 500™, a ranking of the 500 fastest-growing technology, media, telecommunications, life sciences, fintech, and energy tech companies in North America.

The company’s rechargeable sacral neuromodulation (SNM) system provides patients suffering from overactive bladder and/or fecal incontinence with long-lived, easy to use, safe, clinically effective therapy. In addition, Axonics’ best-in-class urethral bulking hydrogel, Bulkamid®, provides safe and durable symptom relief to women with stress urinary incontinence (SUI). Overactive bladder affects an estimated 87 million adults in the U.S. and Europe, with an additional 40 million adults estimated to suffer from fecal incontinence. SUI affects an estimated 29 million women in the U.S. alone. Axonics’ clinically proven products are offered at hundreds of medical centers across the U.S. and abroad. Reimbursement coverage is well established in the U.S. and is a covered service in most European countries. For more information, visit www.axonics.com.

Forward-Looking Statements

Statements made in this press release that relate to future plans, events, prospects or performance are forward-looking statements as defined under the Private Securities Litigation Reform Act of 1995. Words such as “planned,” “expects,” “believes,” “anticipates,” “designed,” and similar words are intended to identify forward-looking statements. While these forward-looking statements are based on the current expectations and beliefs of management, such forward-looking statements are subject to a number of risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from the expectations expressed in this press release, including the risks and uncertainties disclosed in Axonics filings with the Securities and Exchange Commission, all of which are available online at www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Except as required by law, Axonics undertakes no obligation to update or revise any forward-looking statements to reflect new information, changed circumstances or unanticipated events.

Axonics, Inc.

Consolidated Balance Sheets

(in thousands, except share and per share data)

 

 

December 31,

 

2021

 

2020

 

(unaudited)

 

 

ASSETS

 

 

 

Current assets

 

 

 

Cash and cash equivalents

$

220,878

 

 

$

241,181

 

Accounts receivable, net of allowance for credit losses of $355 and $465 at December 31, 2021 and 2020, respectively

 

29,044

 

 

 

18,270

 

Inventory, net

 

64,946

 

 

 

63,060

 

Prepaid expenses and other current assets

 

6,449

 

 

 

5,435

 

Total current assets

 

321,317

 

 

 

327,946

 

Property and equipment, net

 

6,915

 

 

 

6,328

 

Intangible assets, net

 

106,469

 

 

 

196

 

Other assets

 

7,734

 

 

 

7,736

 

Goodwill

 

105,510

 

 

 

—

 

Total assets

$

547,945

 

 

$

342,206

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

Current liabilities

 

 

 

Accounts payable

$

7,654

 

 

$

10,660

 

Accrued liabilities

 

5,435

 

 

 

6,684

 

Accrued compensation and benefits

 

12,413

 

 

 

5,948

 

Operating lease liability, current portion

 

1,366

 

 

 

1,280

 

Debt, net of unamortized debt issuance costs, current portion

 

—

 

 

 

21,110

 

Total current liabilities

 

26,868

 

 

 

45,682

 

Operating lease liability, net of current portion

 

9,052

 

 

 

9,154

 

Deferred tax liabilities, net

 

19,217

 

 

 

—

 

Other long-term liabilities

 

10,370

 

 

 

—

 

Total liabilities

 

65,507

 

 

 

54,836

 

Stockholders’ equity

 

 

 

Preferred stock, par value $0.0001 per share; 10,000,000 shares authorized, no shares issued and outstanding at December 31, 2021 and 2020

 

—

 

 

 

—

 

Common stock, par value $0.0001 per share, 50,000,000 shares authorized at December 31, 2021 and 2020; 46,330,167 and 39,931,030 shares issued and outstanding at December 31, 2021 and 2020, respectively

 

5

 

 

 

4

 

Additional paid-in capital

 

803,559

 

 

 

522,296

 

Accumulated deficit

 

(314,566

)

 

 

(234,499

)

Accumulated other comprehensive loss

 

(6,560

)

 

 

(431

)

Total stockholders’ equity

 

482,438

 

 

 

287,370

 

Total liabilities and stockholders’ equity

$

547,945

 

 

$

342,206

 

 

Axonics, Inc.

Consolidated Statements of Comprehensive Loss

(in thousands, except share and per share data)

 

 

Three Months Ended December 31,

 

Years Ended December 31,

 

2021

 

2020

 

2021

 

2020

 

(unaudited)

 

(unaudited)

 

(unaudited)

 

 

Net revenue

$ 53,135

 

 

$ 34,783

 

 

$ 180,290

 

 

$ 111,535

 

Cost of goods sold

17,744

 

 

12,652

 

 

64,572

 

 

44,444

 

Gross profit

35,391

 

 

22,131

 

 

115,718

 

 

67,091

 

Operating expenses

 

 

 

 

 

 

 

Research and development

10,182

 

 

8,111

 

 

37,297

 

 

29,055

 

General and administrative

9,404

 

 

6,588

 

 

32,785

 

 

25,551

 

Sales and marketing

31,338

 

 

18,284

 

 

105,789

 

 

66,130

 

Amortization of intangible assets

2,147

 

 

29

 

 

7,241

 

 

115

 

Acquisition-related costs

—

 

 

—

 

 

4,414

 

 

—

 

Total operating expenses

53,071

 

 

33,012

 

 

187,526

 

 

120,851

 

Loss from operations

(17,680

)

 

(10,881

)

 

(71,808

)

 

(53,760

)

Other income (expense)

 

 

 

 

 

 

 

Interest income

16

 

 

19

 

 

40

 

 

761

 

Loss on disposal of property and equipment

(91

)

 

(41

)

 

(91

)

 

(41

)

Interest and other expense

102

 

 

(445

)

 

(7,426

)

 

(1,874

)

Other income (expense), net

27

 

 

(467

)

 

(7,477

)

 

(1,154

)

Loss before income tax (benefit) expense

(17,653

)

 

(11,348

)

 

(79,285

)

 

(54,914

)

Income tax (benefit) expense

(2,487

)

 

—

 

 

782

 

 

1

 

Net loss

(15,166

)

 

(11,348

)

 

(80,067

)

 

(54,915

)

Foreign currency translation adjustment

352

 

 

183

 

 

(6,129

)

 

(3

)

Comprehensive loss

$ (14,814

)

 

$ (11,165

)

 

$ (86,196

)

 

$ (54,918

)

 

 

 

 

 

 

 

 

Net loss per share, basic and diluted

$ (0.34

)

 

$ (0.29

)

 

$ (1.86

)

 

$ (1.48

)

Weighted-average shares used to compute basic and diluted net loss per share

44,960,262

 

 

38,971,859

 

 

43,072,298

 

 

36,981,335

 

 

Axonics, Inc.

Net Revenue by Product and Region

(in thousands)

 

 

Three Months Ended December 31,

 

Years Ended December 31,

 

2021

 

2020

 

2021

 

2020

 

(unaudited)

 

(unaudited)

 

(unaudited)

 

 

SNM

 

 

 

 

 

 

 

United States

$ 43,702

 

$ 33,709

 

$ 153,837

 

$ 107,542

International

722

 

1,074

 

3,753

 

3,993

SNM total

$ 44,424

 

$ 34,783

 

$ 157,590

 

$ 111,535

 

 

 

 

 

 

 

 

Bulkamid

 

 

 

 

 

 

 

United States

$ 5,790

 

$ —

 

$ 12,660

 

$ —

International

2,921

 

—

 

10,040

 

—

Bulkamid total

$ 8,711

 

$ —

 

$ 22,700

 

$ —

Total net revenue

$ 53,135

 

$ 34,783

 

$ 180,290

 

$ 111,535

 

Axonics contact:
Neil Bhalodkar
Investor Relations
949-336-5293
ir@axonics.com

Source: Axonics, Inc.

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