Neuropace Inc (NPCE) 2024 Q3 法說會逐字稿

Greetings and welcome to the NeuroPace Inc third quarter, 2024 earnings conference call. (Operator Instructions.)

歡迎參加 NeuroPace Inc 2024 年第三季財報電話會議。（操作員說明。）

As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Jeremy Feffer Investor Relations. Thank you, sir. You may be in good.

提醒一下，本次會議正在錄製中。現在我很高興向您介紹主持人傑里米·費弗投資者關係部門。謝謝您，先生。你可能狀況良好。

Afternoon. Thank you for joining us for NeuroPace's third quarter, 2024 financial and operating results conference call. On today's call, we will hear from Joel Becker, Chief Executive Officer and Rebecca Kuhn, Chief Financial Officer.

下午。感謝您參加 NeuroPace 2024 年第三季財務與營運績效電話會議。在今天的電話會議上，我們將聽取執行長 Joel Becker 和財務長麗貝卡·庫恩 (Rebecca Kuhn) 的發言。

Earlier today, NeuroPace released financial results for the third quarter ended September 30, 2024. A copy of the press release is available on the company's website at NeuroPace.com.

今天早些時候，NeuroPace 發布了截至 2024 年 9 月 30 日的第三季財務表現。新聞稿的副本可在該公司網站 NeuroPace.com 上取得。

Before we begin, I would like to remind you that throughout this call, we will make statements that include forward-looking statements within the meaning of federal securities laws which are made pursuant to the safe harbor provisions of the private securities Litigation Reform Act of 1995.

在我們開始之前，我想提醒您，在整個電話會議中，我們將做出包含聯邦證券法含義內的前瞻性陳述的陳述，這些陳述是根據 1995 年私人證券訴訟改革法案的安全港條款制定的。

Any statements made during this call that relate to expectations or predictions of future events, results or performance or forward-looking statements, all forward-looking statements including those around NeuroPace's projections, business opportunities, commercial expansion, market conditions, clinical trials and those relating to our operating trends and future financial performance, expense management. estimates of market opportunity and forecasts of market and revenue growth are based on current estimates and various assumptions.

本次電話會議期間所做的任何與未來事件、結果或績效的預期或預測相關的陳述或前瞻性陳述，所有前瞻性陳述包括圍繞NeuroPace 的預測、商業機會、商業擴張、市場狀況、臨床試驗以及相關的陳述我們的經營趨勢及未來的財務表現、費用管理。市場機會的估計以及市場和收入成長的預測是基於當前的估計和各種假設。

These statements involve material risks and uncertainties that could cause actual results or events to materially differ from those implied by these forward-looking statements. Accordingly you should not place undue reliance on these statements.

這些陳述涉及重大風險和不確定性，可能導致實際結果或事件與這些前瞻性陳述所暗示的結果或事件有重大差異。因此，您不應過度依賴這些陳述。

For more detailed descriptions of the risks and uncertainties associated with our business. Please refer to the risk factors section of our public filings with the SEC including our latest annual report on form 10-K for the year ended December 31, 2023, filed with the SEC on March 5, 2024, and our quarterly report on form 10-Q for the quarter ended September 30, 2024, to be filed with the SEC and any other reports that we may file with the SEC in the future.

有關與我們業務相關的風險和不確定性的更詳細描述。請參閱我們向 SEC 公開提交的文件中的風險因素部分，包括我們於 2024 年 3 月 5 日向 SEC 提交的截至 2023 年 12 月 31 日的最新 10-K 表格年度報告，以及 10 表格季度報告-Q截至2024 年9 月30 日的季度，將向SEC 提交，以及我們將來可能向SEC 提交的任何其他報告。

This conference call contains time sensitive information which we believe is accurate only as of this live broadcast on November 12, 2024. NeuroPace disclaims any intention or obligation except as required by law to update or revise any financial projections or forward-looking statements, whether because of new information, future events or otherwise. And with that, I will now turn the call over to NeuroPace's Chief Executive Officer Joel Becker. Joel.

本次電話會議包含時間敏感訊息，我們認為這些資訊僅在 2024 年 11 月 12 日的直播中準確。NeuroPace 不承擔任何意圖或義務，除非法律要求更新或修改任何財務預測或前瞻性陳述，無論是因為新資訊、未來事件或其他原因。現在，我將把電話轉給 NeuroPace 的執行長 Joel Becker。喬爾.

Thank you Jeremy and good afternoon, everyone. I will start out today's call by reviewing our performance in the third quarter as well as providing additional insight around our key business priorities for the remainder of the year. Before turning the call over to our CFO, Rebecca Kuhn to present the details of our financial performance for the quarter ended September 30, 2024, which will be followed by a Q&A session. Let's get started.

謝謝傑里米，大家下午好。我將在今天的電話會議中回顧我們第三季的業績，並就今年剩餘時間的關鍵業務優先事項提供更多見解。在將電話轉交給我們的財務長麗貝卡·庫恩 (Rebecca Kuhn) 之前，她將介紹我們截至 2024 年 9 月 30 日的季度的財務業績詳細信息，隨後將進行問答環節。讓我們開始吧。

We are very pleased with the performance of the business in the third quarter of 2024. As we generated record revenue delivered on track gross margins and demonstrated disciplined operating expense management as we continue to execute against our multi-phase growth strategy.

我們對 2024 年第三季的業務表現非常滿意。隨著我們繼續執行多階段成長策略，我們創造了創紀錄的收入，實現了毛利率的成長，並展示了嚴格的營運費用管理。

For the third quarter of 2024 we reported total revenue of $21.1 million an increase of 28% compared to the same period last year. Revenue growth for the quarter included contributions from sales of the RNS system and DIXI medical SEEG products with the majority of the year over year growth coming from sales of the RNS system.

2024 年第三季度，我們的總營收為 2,110 萬美元，與去年同期相比成長 28%。本季營收成長包括 RNS 系統和 DIXI 醫療 SEEG 產品銷售的貢獻，其中大部分同比增長來自 RNS 系統的銷售。

This Q3 2024 performance was driven by execution in a number of areas across the business. With regard to the top line we continued to demonstrate execution of the first part of our strategy of increasing adoption and utilization of RNS systems in level four centers and increased the number of active prescribers of RNS therapy to record levels.

2024 年第三季的業績是由整個業務多個領域的執行所推動的。就營收而言，我們繼續展示我們策略第一部分的執行情況，即在四級中心增加 RNS 系統的採用和使用，並將 RNS 治療的活躍處方者數量增加到創紀錄的水平。

Adding to RNS system growth, we began to see a meaningful increase in the number of implants at centers that are part of our Project Care pilot program and in the number of referrals for RNS implants from these centers to level 4 CEC's, we also continued to expand the market penetration and utilization of DIXI medical products which contributed to our revenue growth in Q3.

除了RNS 系統的成長之外，我們開始看到作為我們的計畫護理試點計畫一部分的中心的植入數量顯著增加，並且從這些中心轉診至4 級CEC 的RNS 植入數量也有所增加，我們也繼續擴大 DIXI 醫療產品的市場滲透率和利用率，為我們第三季的收入成長做出了貢獻。

In the middle part of the income statement, we delivered a gross margin that was on track with our target range. And when combined with the disciplined investment strategy in our key growth and development priorities reduced our cash burn to $1.8 million for the quarter.

在損益表的中間部分，我們提供的毛利率符合我們的目標範圍。與我們關鍵成長和發展優先事項中嚴格的投資策略相結合，本季的現金消耗減少至 180 萬美元。

Combined with opportunistic use of our ATM facility, our cash balance increased in the quarter from $55.5 million at the end of the second quarter to $56.8 million at the end of the third quarter, we believe that our current cash position is sufficient to fund operations for the foreseeable future.

結合我們 ATM 設施的機會性使用，本季我們的現金餘額從第二季末的 5,550 萬美元增加到第三季末的 5,680 萬美元，我們相信我們當前的現金狀況足以為營運提供資金可預見的未來。

We also focused on leveraging and developing our organization to increase our level of current performance as well as prepare for the significant opportunities in front of us. The placement of additional sales representatives in the US has helped build momentum in the launch of the Project Care program this year which has contributed to our revenue growth over the past several months while also increasing our field capacity so that we will be well positioned to take advantage of the multiple market development and indication expansion opportunities to come.

我們也專注於利用和發展我們的組織，以提高我們目前的績效水平，並為我們面前的重大機會做好準備。在美國安置更多銷售代表有助於增強今年啟動專案關懷計畫的勢頭，這有助於我們過去幾個月的收入成長，同時也提高了我們的現場能力，使我們能夠更好地採取行動利用即將到來的多個市場開發和適應症擴展機會。

Additionally, given the significant opportunities in the business, we've also been focused on strengthening our leadership team. We recently announced the hiring of new senior leaders including Katie Keller to lead our Marketing function. Brett Wingeier to lead our research and development team and Amy Treadwell to head up human resources. I would like to take a moment to touch on each valuable new team member's background.

此外，考慮到業務中的重大機遇，我們也致力於加強我們的領導團隊。我們最近宣布聘請凱蒂·凱勒（Katie Keller）等新的高階領導者來領導我們的行銷職能。Brett Wingeier 領導我們的研發團隊，Amy Treadwell 領導人力資源。我想花點時間談談每個有價值的新團隊成員的背景。

We are excited to now have Katie Keller leading our Marketing function. Katie brings specific experience in the neurostimulation market and expertise in market development that position her well to manage our market development efforts around key strategic initiatives, namely expansion of the care program planning for launch of our indication expansions, guiding our direct-to-patient outreach and digital marketing efforts and working with our research and development team on our product pipeline.

我們很高興現在凱蒂凱勒 (Katie Keller) 領導我們的行銷職能。凱蒂帶來了神經刺激市場的具體經驗和市場開發方面的專業知識，這使她能夠很好地圍繞關鍵戰略舉措管理我們的市場開發工作，即擴大護理計劃規劃以啟動我們的適應症擴展，指導我們直接面向患者的推廣以及數位行銷工作，並與我們的研發團隊合作開發我們的產品線。

We are pleased to welcome Brett Wingeier back to NeuroPace to lead our research and development team. With his significant experience and expertise in neuromodulation and medical device development, Brett is uniquely well suited to oversee the exciting work underway to both enhance the efficiency and ease of use of the RNS system and to amplify our focus on device and data innovation in the use of RNS to continue to advance our technology leadership position and most recently, we appointed Amy Treadwell as Vice President of Human Resources. Amy brings an impressive track record of success in health care and technology roles and she will be instrumental in helping us continue to build an engaged high performing culture to support our growth.

我們很高興歡迎 Brett Wingeier 回到 NeuroPace 領導我們的研發團隊。憑藉在神經調節和醫療設備開發方面的豐富經驗和專業知識，Brett 非常適合監督正在進行的令人興奮的工作，以提高RNS 系統的效率和易用性，並加強我們對使用中的設備和數據創新的關注RNS 繼續提升我們的技術領先地位，最近，我們任命 Amy Treadwell 為人力資源副總裁。艾米在醫療保健和科技領域取得了令人印象深刻的成功記錄，她將有助於幫助我們繼續建立敬業的高績效文化以支持我們的發展。

We continue to make progress in the quarter on the third phase of our growth strategy, expanding the approved indications for the RNS system. The primary focus for this element of our strategy is the Nautilus study. As previously mentioned, all implants are complete, the trial is in the patient follow up phase and remains on track to complete the required one year follow up in Q1 2025.

本季我們繼續在成長策略的第三階段取得進展，擴大 RNS 系統的核准適應症。我們策略的這一要素的主要焦點是鸚鵡螺研究。如前所述，所有植入物均已完成，試驗正處於患者追蹤階段，並有望在 2025 年第一季完成所需的一年追蹤。

As a reminder if approved, our RNS system would be the first device with an FDA approved indication for idiopathic generalized epilepsy.

提醒一下，如果獲得批准，我們的 RNS 系統將成為第一個獲得 FDA 批准的特發性全身性癲癇適應症的裝置。

We were also pleased to submit positive three year safety and effectiveness data from our ongoing five year prospective post approval study of the RNS system in adults with drug resistant focal epilepsy. We look forward to publishing and presenting the full study results pending the expiration of a publication embargo.

我們也很高興地提交了我們正在進行的 RNS 系統批准後五年前瞻性研究對成人抗藥性局部癲癇患者的三年安全性和有效性積極數據。我們期待在出版禁運到期之前發布和展示完整的研究結果。

With that as an overview of our operational progress in Q3. Let me now turn the call over to Rebecca to review our financial results for the third quarter of 2024 Rebecca.

這是我們第三季營運進展的概述。現在讓我將電話轉給麗貝卡，回顧麗貝卡在 2024 年第三季的財務表現。

Thank you, Joe. Our team has continued to make tremendous progress in executing against our strategy. The reach we now have through a network of physicians educated, trained and prescribing RNS therapy is extraordinary compared to just a couple of years ago and will play a key role in closing the treatment GAAP by driving broader adoption and utilization of our system.

謝謝你，喬。我們的團隊在執行我們的策略方面繼續取得巨大進展。與幾年前相比，我們現在透過接受教育、培訓和處方RNS 治療的醫生網絡所達到的影響力是非凡的，並且將透過推動我們系統的更廣泛採用和利用，在完成治療GAAP 方面發揮關鍵作用。

For the third quarter of 2024, NeuroPace's revenue was $21.1 million representing growth of 28% compared to $16.4 million for the third quarter of 2023. Revenue growth was primarily driven by increased sales of our RNS system excluding the contribution from Nautilus study cases in the third quarter of 2023, RNS sales grew by 36%. We also continue to generate meaningful revenue growth from sales of DIXI medical products.

2024 年第三季度，NeuroPace 的營收為 2,110 萬美元，較 2023 年第三季的 1,640 萬美元成長 28%。營收成長主要是由我們的 RNS 系統銷售成長所推動的，不包括 2023 年第三季 Nautilus 研究案例的貢獻，RNS 銷售額成長了 36%。我們也繼續透過 DIXI 醫療產品的銷售實現有意義的收入成長。

Gross margin for the third quarter of 2024 was 73.2% compared to 74.5% in the third quarter of 2023. Gross margin continues to be in line with our target range of 72% to 74%. R&D expense was $5.8 million in the third quarter of 2024 compared with $4.8 million in the same period of 2023.

2024年第三季的毛利率為73.2%，而2023年第三季的毛利率為74.5%。毛利率繼續符合我們 72% 至 74% 的目標範圍。2024 年第三季的研發費用為 580 萬美元，而 2023 年同期為 480 萬美元。

This increase was primarily driven by an increase in personnel and program expenses for product development including AI software and next-generation device platform projects and clinical studies. SG&A expense was $13.9 million in the third quarter of 2024 compared with $13.4 million in the prior year period.

這一增長主要是由於產品開發的人員和項目費用增加所致，包括人工智慧軟體和下一代設備平台項目以及臨床研究。2024 年第三季的 SG&A 費用為 1,390 萬美元，去年同期為 1,340 萬美元。

This increase was primarily due to an increase in sales and marketing personnel related expenses, partially offset by a decrease in general and administrative expenses. Total operating expenses were $19.7 million in the third quarter of 2024 compared with $18.2 million in the same period of the prior year, representing growth of 8%.

這一增長主要是由於銷售和行銷人員相關費用的增加，但部分被一般和管理費用的減少所抵消。2024年第三季總營運費用為1,970萬美元，去年同期為1,820萬美元，成長8%。

With revenue growing by 28% for the quarter. We demonstrated strong operating leverage resulting from our focus on driving revenue growth while also effectively managing our operating expenses and cash. We plan to continue to focus on balancing these objectives.

本季營收成長 28%。由於我們專注於推動收入成長，同時有效管理我們的營運費用和現金，因此我們展示了強大的營運槓桿。我們計劃繼續專注於平衡這些目標。

Loss from operations was $4.2 million in the third quarter of 2024 compared with $6 million in the prior year period, we recorded $2.2 million of interest expense in the third quarter of 2024 compared to $2.2 million in the prior year period. Net loss was $5.5 million for the third quarter of 2024 compared with $7.3 million in the third quarter of 2023.

2024 年第三季的營運虧損為 420 萬美元，而去年同期為 600 萬美元。2024 年第三季的淨虧損為 550 萬美元，而 2023 年第三季的淨虧損為 730 萬美元。

As discussed previously, we have maintained a disciplined expense management strategy resulting in cash burn in the third quarter of 2024 of $1.8 million compared to $2.3 million in the prior year period. In the third quarter of 2024 we paid coupon interest expense entirely in cash. Whereas in the prior year quarter, $0.7 million of interest was paid in kind by increasing the principle of our debt. If we adjust cash burn for this difference, the year over year improvement was even greater.

如前所述，我們維持嚴格的費用管理策略，導致 2024 年第三季的現金消耗為 180 萬美元，而去年同期為 230 萬美元。2024年第三季度，我們全部以現金支付票面利息費用。而去年同期，我們透過增加債務本金以實物形式支付了 70 萬美元的利息。如果我們根據這一差異調整現金消耗，同比改善會更大。

Our cash and short-term investments balance as of September 30, 2024, was $56.8 million. An increase of $1.3 million compared to the end of the prior quarter. In the third quarter of 2024 we opportunistically raised $2.9 million in net proceeds under our ATM facility resulting in an overall increase in our cash and short-term investments balance.

截至 2024 年 9 月 30 日，我們的現金和短期投資餘額為 5,680 萬美元。與上一季末相比增加了 130 萬美元。2024 年第三季度，我們透過 ATM 設施趁機籌集了 290 萬美元的淨收益，導致我們的現金和短期投資餘額總體增加。

Our long-term borrowings totaled $59.3 million as of September 30, 2024. As a reminder, the final maturity of our debt is September 30, 2026. Regarding annual guidance for 2024 we now expect our total revenue to be in a range of $78million to $80 million an increase of approximately 19% to 22% over 2023.

截至 2024 年 9 月 30 日，我們的長期借款總額為 5,930 萬美元。提醒一下，我們債務的最終到期日是 2026 年 9 月 30 日。關於 2024 年的年度指導，我們現在預計我們的總收入將在 7800 萬美元至 8000 萬美元之間，比 2023 年增長約 19% 至 22%。

This growth is expected to be mostly driven by an increase in sales of our RNS system with growth from sales of DIXI medical products continuing to make a meaningful contribution. We expect our gross margin to be in a range of 72% to 74% for 2024. Although we may see some small variability due to fluctuations in the proportion of DIXI medical revenue to total revenue and other factors.

預計這一成長主要是由我們的 RNS 系統銷售的成長所推動的，其中 DIXI 醫療產品的銷售成長將繼續做出有意義的貢獻。我們預計 2024 年毛利率將在 72% 至 74% 之間。儘管由於DIXI醫療收入佔總收入的比例波動等因素，我們可能會看到一些小的變化。

We expect operating expenses for 2024 to range between $80million $84 million including approximately $10 million in stock based compensation and non-cash expense.

我們預計 2024 年的營運費用將在 8,000 萬美元至 8,400 萬美元之間，其中包括約 1,000 萬美元的股票薪酬和非現金費用。

I would now like to turn the call back over to Joel for closing remarks.

我現在想將電話轉回喬爾，讓他發表結束語。

Thank you, Rebecca. We are pleased with the rate of revenue growth, demonstration of financial discipline and execution of operating priorities during the quarter. The momentum in the quarter is the result of the hard work that's been taking place over the entire year and we are focused on building on it further through the end of the year and beyond.

謝謝你，麗貝卡。我們對本季的收入成長率、財務紀律的表現以及營運優先事項的執行感到滿意。本季度的勢頭是全年努力工作的結果，我們致力於在今年年底及以後進一步鞏固這一勢頭。

Before we end today's call, I want to call attention to two upcoming events. First, we will be at the upcoming 78th American Epilepsy Society Annual Meeting which is taking place in Los Angeles from December 6, through the 10. We are very excited by the data that will be presented during the meeting including several investigator sponsored and initiated studies.

在結束今天的電話會議之前，我想提請大家注意即將舉行的兩件事。首先，我們將參加即將於 12 月 6 日至 10 日在洛杉磯舉行的第 78 屆美國癲癇協會年會。我們對會議期間將提出的數據感到非常興奮，其中包括幾項研究者贊助和發起的研究。

We invite any of you attending the show to stop by and visit us at booth 211 9. As we get closer to the meeting date, we plan on issuing additional details about our poster presentations and present at AES. Second, we are planning to host an Investor Day in New York during the first quarter of 2025 with more details to come.

我們誠摯邀請所有參加展覽的人蒞臨我們的 211 9 號攤位。隨著會議日期的臨近，我們計劃發布有關我們的海報演示和 AES 演示的更多詳細資訊。其次，我們計劃於 2025 年第一季在紐約舉辦投資者日活動，更多細節即將公佈。

I look forward to updating everyone on our continued progress through the fourth quarter of 2024 and into 2025 this concludes our prepared remarks.

我期待向大家通報我們在 2024 年第四季和 2025 年持續取得的進展，我們準備好的發言到此結束。

I would now like to turn the call over to the operator who will open the call for questions, operator.

我現在想將電話轉給接線員，接線員將打開電話詢問問題。

Thank you. At this time, we will be conducting a question-and-answer session. (Operator Instructions) Our first question comes from Frank Takkinen with Lake Street Capital Market. Please proceed with your question.

謝謝。此時，我們將進行問答環節。（操作員說明）我們的第一個問題來自 Lake Street Capital Market 的 Frank Takkinen。請繼續你的問題。

Great. Thanks for taking the questions. Congrats on the really solid results. Maybe I'll start with just a bigger picture one, Joel, you've been on board obviously for a number of quarters now and execution has been really solid. But as you look back at the previous quarters, maybe just parse out where you feel the primary growth is coming from and the core RNS growth. Is it the Project Care initiative? Is it market share taking? Is it expanding the market and then maybe touch on kind of the durability of where that primary growth is coming from?

偉大的。感謝您提出問題。祝賀取得了非常紮實的成果。也許我會從一個更大的願景開始，喬爾，你顯然已經加入了幾個季度，而且執行力非常紮實。但當您回顧前幾季時，也許只需解析一下您認為主要成長來自何處以及核心 RNS 成長。這是「關懷項目」計畫嗎？是搶奪市佔率嗎？它是否擴大了市場，然後可能觸及主要成長來源的持久性？

Great. Thanks for the question, Frank, nice to hear from you. So if we look back over the past number of quarters and if we look at this quarter, it's really a matter of executing the strategy that we've laid out. So as three key planks in our strategy. One, increasing adoption and utilization within our core Level 4 centers, two, expanding site of service beyond the Level 4 centers and increasing access to RNS for people who are at site Level 4 centers, and then three, expanding indications and if we look at where we're seeing growth, it's both adoption as well as utilization within the Level 4 centers.

偉大的。謝謝你的提問，弗蘭克，很高興收到你的來信。因此，如果我們回顧過去的幾個季度以及本季度，就會發現這實際上是執行我們制定的策略的問題。因此，作為我們策略中的三個關鍵支柱。第一，增加我們核心4 級中心內的採用和利用率，第二，將服務站點擴展到4 級中心之外，並增加4 級中心站點的人員對RNS 的訪問，然後第三，擴大適應症，如果我們考慮我們看到成長的地方是 4 級中心的採用率和利用率。

So as I mentioned in my prepared comments there continuing to increase the number of prescribers has been great to see we continue to increase that number and so we're seeing broader adoption of the RNS system and then also driving utilization within that within that group of customers. So there's some expansion of RNS from a market development perspective as well as share.

因此，正如我在準備好的評論中提到的那樣，繼續增加處方者的數量很高興看到我們繼續增加這個數字，因此我們看到RNS 系統得到了更廣泛的採用，然後也推動了該組中的利用率顧客。所以從市場開發和份額的角度來看，RNS 都有一些擴張。

Starting to see some meaningful contributions from site of service in the work that we're doing on the care side. So we've got a good diversification of some of those growth drivers that's now starting to come to fruition. And really, we've been working on over the past number of quarters.

開始看到服務站點在我們在護理方面所做的工作中做出了一些有意義的貢獻。因此，我們已經實現了一些成長動力的良好多元化，現在已經開始取得成果。事實上，我們在過去幾個季度一直在努力。

Got it. Okay. That's helpful. And then maybe, asking about sales reps. Last quarter, you called out some of your newly hired reps had completed training and their place in kind of geographies where you identify expansion opportunities outside of the Level 4 centers, maybe touch on that cohort of reps and then talk about any hiring plans that you think about the next couple quarters and years.

知道了。好的。這很有幫助。然後也許，詢問銷售代表。上個季度，您指出了一些新聘用的代表已經完成了培訓，以及他們在 4 級中心之外的擴張機會的地區的位置，也許會接觸到這群代表，然後談論您認為的任何招聘計劃。想想接下來的幾季和幾年。

It's a great question. Thanks for remembering that, Frank. Yeah, we did talk about that the initial tranche of that sales force expansion group that we had talked about earlier in the year, had completed training and was being kind of released as it were out to independent activities and that's happened and we can point to places where we believe we're seeing increased growth both with regard to support for current RNS business as well as then with geographies that we didn't have what we wanted from an intensity of coverage perspective previously and now do and then there's a certain component of that's part of Care as well.

這是一個很好的問題。謝謝你還記得這一點，弗蘭克。是的，我們確實談到了我們在今年早些時候討論過的銷售隊伍擴張小組的第一部分，已經完成了培訓，並且正在被釋放，因為它要進行獨立活動，而且這種情況已經發生了，我們可以指出我們相信我們看到成長的地方既包括對當前RNS 業務的支持，也包括從覆蓋強度的角度來看我們以前沒有得到我們想要的東西的地區，而現在卻有，然後有一個特定的組成部分這也是護理的一部分。

So it's really been great to see those folks hitting the ground running and beginning to add both capacity to the commercial organization as well as impact. So that's been great with regard to further hiring plans. We're not, we're not talking about that specifically here today. Other than to say that we continue to stay opportunistic around hiring, where we can take advantage of growth opportunities that we see and are being mindful about hiring and organizational expansion and preparation in advance of some of the opportunities that we see coming down the road as well with regard to further CARE, expansion and indication expansion efforts, pending successful clinical studies as well.

因此，很高興看到這些人開始行動並開始增加商業組織的能力和影響力。因此，這對於進一步的招聘計劃來說是非常好的。我們不是，我們今天不是專門討論這個問題。除此之外，我們繼續在招募方面保持機會主義，我們可以利用我們看到的成長機會，並在招募和組織擴張方面保持警惕，並為我們認為即將出現的一些機會做好準備。 CARE、擴展和適應症擴展工作，還有待成功的臨床研究。

Got it. That's helpful. Thanks for taking the questions.

知道了。這很有幫助。感謝您提出問題。

Thank you, Frank.

謝謝你，弗蘭克。

Our next question comes from Mike Kratky with Leerink partners. Please proceed with your question.

我們的下一個問題來自 Leerink 合作夥伴的 Mike Kratky。請繼續你的問題。

Hi, everyone. Thanks very much for taking our questions. Can you help unpack some of your comments on the Project Care pilot program and how that's impacting your contribution to growth just between the traction you're seeing among the 1,800 epileptologists outside of Level 4 centers versus any kind of uptick you're seeing in patient referrals. Where is that growth really coming from?

大家好。非常感謝您回答我們的問題。您能否幫忙解釋一下您對Project Care 試點計劃的一些評論，以及您在4 級中心之外的1,800 名癲癇專家中看到的牽引力與您在患者中看到的任何類型的上升之間的關係如何影響您對成長的貢獻推薦。這種成長真正來自哪裡？

Thanks, Mike. I appreciate the question. And so from a CARE program perspective, we've really been in the pilot phase and have started to expand that pilot in the second half year of 2024 and it's been gratifying here in the third quarter to begin to see a meaningful contribution from that program. And we're really seeing contribution both from implants within these centers as well as then referrals back into Level 4 centers and, and referrals that then further kind of bifurcate into in two directions.

謝謝，麥克。我很欣賞這個問題。因此，從 CARE 計劃的角度來看，我們確實處於試點階段，並已開始在 2024 年下半年擴大該試點範圍，令人高興的是在第三季度開始看到該計劃做出了有意義的貢獻。我們確實看到了這些中心內的植入以及隨後轉介回 4 級中心的貢獻，以及隨後進一步分為兩個方向的轉介。

One we'd kind of expected where when you're out in the community, you tend we found that we were uncovering patients that needed phase two management or phase two testing rather and then potentially further care and we get would get referred back to the Level 4 centers. And we are seeing that, but we're also seeing that centers, CARE centers who either aren't quite ready to do implants yet or in some cases want to be programming centers.

我們預計，當您在社區中時，您往往會發現我們正在發現需要第二階段管理或第二階段測試的患者，而不是然後可能需要進一步護理，我們會被轉回給4 級中心。我們看到了這一點，但我們也看到一些中心、CARE 中心要么還沒有準備好進行植入，要么在某些情況下希望成為程式設計中心。

We refer patients to a level 4center to be implanted and then get the patient back and manage them either while the program is getting spun up or they want to do the patient management rather than necessarily the implants as well. So we're seeing both implants as well as referrals. And it's again, it's really been encouraging here to see that begin to inflect in Q3.

我們將患者轉介到 4 級中心進行植入，然後讓患者回來並在專案啟動時對其進行管理，或者他們想要進行患者管理而不是植入。所以我們看到了植入和轉介。再次，看到這種情況在第三季開始發生變化確實令人鼓舞。

Got it. Yeah, I appreciate the color and maybe just as a follow-up, you posted a really nice revenue beat in 3Q solid sequential growth versus second quarter. It looks like the updated guidance isn't building in too much additional credit beyond your prior guidance for the fourth quarter. So are you seeing any specific headwinds you'd call out so far this quarter? You maybe just walk us through. What would get you to the lower end of that guidance range for 4Q?

知道了。是的，我很欣賞這種顏色，也許作為後續行動，您在第三季度的穩健連續增長中公佈了與第二季度相比非常好的收入增長。看起來更新後的指導並沒有在您之前對第四季度的指導之外增加太多額外的功勞。那麼，本季到目前為止，您是否看到了任何具體的阻力？你也許只是引導我們去了解一下。什麼會讓您達到第四季指導範圍的下限？

Thanks Mike. Another excellent question. So if we just talk about the growth of the business and the rest of the year guidance first of all, we're really pleased with the top line momentum that we demonstrated in the third quarter with a particularly strong growth rate at 28% more broadly. If we look at the first half of 2024 the business grew 21%.

謝謝邁克。另一個很好的問題。因此，如果我們先談論業務成長和今年剩餘時間的指導，我們對第三季表現出的營收勢頭感到非常滿意，更廣泛地說，成長率特別強勁，達到 28% 。如果我們看看 2024 年上半年，業務成長了 21%。

And at the midpoint of our raised and increased guidance here that would also deliver 21% growth for the second half of the year despite increasing comps in the second half of the year of 24% and 21% growth for the full year of '24 as well. Of note and potentially of interest we also grew the business 23% year over year during the six months in the middle so Q2 and Q3.

在我們提出和增加的指導的中點，儘管下半年的比較增加了 24%，24 年全年的增長為 21%，但下半年的增長也將達到 21%。值得注意且可能令人感興趣的是，在第二季和第三季中間的六個月內，我們的業務年增了 23%。

So if you think about the first half of the year, the middle of the year and now our implied guidance for the rest of the year. Remembering that Q2, Q3 and Q4 all have headwinds from Nautilus cases in Q2, Q3 and Q4 of 2023 we've been growing the business at 20% plus in 2024. We see the fundamentals of the business as strong, the updated guidance for second half and for the full year shows that plus 20% we're focused on continuing that.

因此，如果您考慮今年上半年、年中以及我們對今年剩餘時間的隱含指導。請記住，2023 年第二季、第三季和第四季都受到了 Nautilus 案例的不利影響，我們在 2024 年的業務成長了 20% 以上。我們認為該業務的基本面強勁，下半年和全年的最新指導表明，加上 20%，我們致力於繼續這一目標。

And we may have quarter to quarter variability, but we feel good about the momentum and the direction both of the execution of the business as well as the opportunities that are in front of us here, so that's kind of how we've been thinking about '24 and how we've thought about both the second half as well as full year guidance.

我們可能會出現季度與季度之間的變化，但我們對業務執行的勢頭和方向以及擺在我們面前的機會感覺良好，所以這就是我們一直在思考的方式'24 以及我們如何考慮下半年和全年的指導。

And, just I'd be remiss here of not then mentioning. We're getting that level of growth with single digit operating expense increases and that's resulting in significant improvements in our burn rate as well. And so as we said in our prepared comments, and of course, we focus on top line growth. It's the most important thing we can do is topline growth. But we also believe that with our current projections, we have the cash to fund our operations for the foreseeable future as well. So we think from a really through the income statement, we're pleased with the quarter from a top line OpEx and cash management perspective.

而且，如果我不提的話，那就太失職了。我們的成長水準是透過個位數的營運費用增加來實現的，這也導致我們的資金消耗率顯著提高。正如我們在準備好的評論中所說，當然，我們專注於營收成長。我們能做的最重要的事情就是營收成長。但我們也相信，根據我們目前的預測，我們也有足夠的現金來為可預見的未來的營運提供資金。因此，我們從真正的損益表來看，從營運支出和現金管理的角度來看，我們對本季感到滿意。

Awesome. Thank you.

驚人的。謝謝。

Thanks Mike.

謝謝邁克。

Our next question comes from Robbie Marcus with JP Morgan. Please proceed with your question.

我們的下一個問題來自摩根大通的羅比·馬庫斯。請繼續你的問題。

Hi, this is Robbie. Thanks for taking our question and congrats on a nice quarter. So I appreciate the commentary you gave on just RNS driving the bulk of sales growth today. And I just wanted to get a sense for how you're thinking about this trend versus DIXI over time and maybe some preliminary color you can provide on kind of growth contribution into 2025.

嗨，這是羅比。感謝您提出我們的問題，並祝賀您度過了一個愉快的季度。因此，我很欣賞您對 RNS 推動今天大部分銷售成長的評論。我只是想了解您如何看待這一趨勢與 DIXI 隨著時間的推移，也許您可以提供一些關於 2025 年成長貢獻的初步資訊。

Thank you. Thanks for that question. And we did call that out and I just emphasize we got growth across product lines and that's the goal. And so it's great to see it and we intend to continue that, but the significant majority of the growth came from RNS and that's where the significant majority of our growth is going to come given the magnitude of that business and the magnitude of the opportunity that's in front of us.

謝謝。謝謝你提出這個問題。我們確實指出了這一點，我只是強調我們在產品線上取得了成長，這就是我們的目標。因此，很高興看到這一點，我們打算繼續這樣做，但絕大多數增長來自 RNS，考慮到該業務的規模和機會的規模，這就是我們的大部分增長將來自的地方。

And that's in no way to slight the opportunity associated with DIXI. We are really pleased with the growth that we're seeing there too. But the majority of the growth here the significant majority of the growth came from RNS, but it's just great to get that growth across product lines and, and have that amplifier both from a financial perspective as we, and then as we've talked about the ability to kind of deepen relationships and vertically integrate in the diagnostic process makes I think the it's a good combination.

這絕不是忽視與 DIXI 相關的機會。我們對在那裡看到的成長也感到非常滿意。但這裡的大部分增長來自 RNS，但很高興能夠跨產品線實現這種增長，並且從財務角度來看，就像我們一樣，然後正如我們所討論的那樣，擁有這種放大器在診斷過程中加深關係和垂直整合的能力使我認為這是一個很好的組合。

And then I guess a follow up to a previous question just around OpEx and expectations for leverage down. The P&L obviously SG&A came in lower than our expectations and it was a modest 4% growth year over year. And that you kept OpEx guidance unchanged for the balance of the year. But is there anything that you can call out specifically in third quarter that drove the better leverage? And obviously this implies kind of from buyer math, low-to-mid teens OpEx growth and fourth quarter. So is there any specific reason why we shouldn't see this kind of single digit OpEx growth continue for the balance of this year and beyond?

然後我想是對先前關於營運支出和槓桿率下降的預期的問題的跟進。顯然，損益表、SG&A 低於我們的預期，年增 4%。並且您在今年剩餘時間內保持營運支出指導不變。但是，您在第三季有什麼可以特別指出的因素推動了槓桿率的提高嗎？顯然，這意味著買家數學、中低青少年營運支出成長和第四季的情況。那麼，是否有任何具體原因導致我們在今年及以後的剩餘時間裡不會看到這種個位數的營運支出成長？

I ask Rebecca to put some color on that. One thing I would mention that we did call out is within SG&A we're investing on the S, and we're being real efficient on the G&A. So there's a little bit of a tale of two cities there. But Rebecca, if you maybe wanted to say a little bit more about OpEx expectations and any color in the quarter.

我請麗貝卡對此添加一些色彩。我要提到的是，我們確實強調的一件事是，在 SG&A 中，我們正在 S 上進行投資，並且我們在 G&A 上非常有效率。所以那裡有兩個城市的一些故事。但是麗貝卡，如果您可能想多說一些有關營運支出預期和本季任何顏色的資訊。

Sure, Just to add a little bit of color as you may have seen by about a million dollars year over year or 20% we're clearly making investments in programs that we believe will help drive revenue growth both in the near term and over a longer time horizon. We're also bolstering our sales and marketing activities. But as Joel mentioned, those are then offset by lower G&A expenses.

當然，只是添加一點色彩，正如您可能看到的那樣，我們每年投資約100 萬美元或20%，我們顯然正在對一些項目進行投資，我們相信這些項目將有助於在短期內和未來一段時間內推動營收成長。我們也加強了銷售和行銷活動。但正如喬爾所提到的，這些費用隨後被較低的一般管理費用所抵消。

We continue to realize efficiencies within our G&A area. Some of that has to do with just ongoing experience operating as a public company. It's just kind of an ongoing focus though to drive efficiency, particularly in that area. So, that gives you a little bit more. I will say Q3 expenses can tend to be a little bit lower versus other quarters. And Q4, we have our AES Annual Meeting which can contribute to somewhat higher OpEx in the fourth quarter.

我們持續提高 G&A 領域的效率。其中一些與作為上市公司的持續營運經驗有關。這只是一種持續關注以提高效率，特別是在該領域。所以，這給了你更多一點。我想說，第三季的支出可能會比其他季低。第四季度，我們召開了 AES 年會，這可以為第四季度的營運支出帶來一定程度的提高。

Thank you.

謝謝。

I Hope that helps.

我希望這有幫助。

Yeah. No, thanks a lot.

是的。不，非常感謝。

Our next question comes from our next question comes from Vik Chopra with Wells Fargo. Please proceed with your question.

我們的下一個問題來自富國銀行的 Vik Chopra。請繼續你的問題。

Hey, good afternoon and congrats on a nice quarter. Thank you for taking the questions. So I want to follow up on your Q4, obviously you had a pretty big beat in Q3 and that would imply a sequential step down in dollars in Q4, which hasn't been the case traditionally. So, is there something that you would call out? Is it maybe pull forward or any impact from hurricanes or is it just management conservatism? You're trying to get a better handle on that and then I had a follow up, please.

嘿，下午好，恭喜您度過了一個愉快的季度。感謝您提出問題。因此，我想跟進您的第四季度，顯然您在第三季度取得了相當大的進展，這意味著第四季度美元將連續下降，而傳統情況並非如此。那麼，您有什麼要說的嗎？可能是因為颶風的影響，還是只是管理階層的保守主義？你正試圖更好地處理這個問題，然後我進行了跟進，請。

Hi, Vik. Thanks for the detailed and thoughtful question thinking about the quarters. And, we really can't see anything that would say there was a borrowing or any kind of a pull forward of cases necessarily from Q4 to Q3. There may have been some of that at the hospital level. But we really point to anything like that at this point, but it is a little bit difficult for us to know all the individual ins and outs of scheduling. Obviously growth was very strong in Q3 and it was great to see, but it's difficult at this point to know what may or may not have moved around in terms of individual hospital schedules with regard to Q4.

嗨，維克。感謝您提出有關季度的詳細而深思熟慮的問題。而且，我們確實看不到任何可以說明案件從第四季到第三季必然存在藉用或任何形式的提前的情況。醫院層面可能有一些這樣的情況。但我們現在確實指出了類似的事情，但我們有點難以了解日程安排的所有細節。顯然，第三季的成長非常強勁，很高興看到這一點，但目前很難知道第四季度各個醫院的時間表可能會或可能不會發生什麼變化。

We did call out there's obviously the AES Annual Meeting in early December our largest meeting of the year and I think as we've talked about previously, that's pretty impactful to the whole field. So epileptologists as well as functional neurosurgeons and folks from our team etc.

我們確實指出，12 月初舉行的 AES 年會顯然是我們今年最大的會議，我認為正如我們之前討論過的那樣，這對整個領域產生了相當大的影響。因此，癲癇學家、功能性神經外科醫生和我們團隊的人員等。

So we do expect that there'll be some impact in terms of the number of days available in Q4 and then of course, we've got the normal holiday as well as, as yearend scheduling. But our guidance allows for all that. And again what we've seen, and I think is reflected in the guidance is the business has been growing 20% plus in the first half of '24 and also in the middle of the year.

因此，我們確實預計第四季度的可用天數會受到一些影響，當然，我們還有正常的假期以及年終安排。但我們的指導允許這一切。我們再次看到，我認為指導中反映出來的是，業務在 24 年上半年和年中增長了 20% 以上。

And our guidance reflects 20% plus growth for the second half of the year and full year '24. So we think that's a good place to be from a guidance perspective. We're focusing on delivering that 20% for the year and continuing it and then building on the momentum the business has got.

我們的指導反映了下半年和 24 年全年 20% 以上的成長。所以我們認為從指導的角度來看這是一個好地方。我們的重點是今年實現 20% 的目標，並繼續實現這一目標，然後在業務已有的勢頭基礎上再接再厲。

Okay. Thank you. And then my follow up question, obviously you're starting to see some impact from project care which you called out for Q3. But as we think about our models for next year, how should we think about the impact on Project Care in 2025? Thank you.

好的。謝謝。然後是我的後續問題，顯然您開始看到您在第三季度呼籲的專案護理的一些影響。但當我們思考明年的模式時，我們該如何考慮 2025 年對 Project Care 的影響？謝謝。

Thanks Vik, you've been very much focused on CARE, and I appreciate that. We see CARE and the expansion of service opportunity in '25 as an important opportunity for us to continue to grow and expand the business again, strategy of increasing access to RNS therapy that we have underway really has the three planks that we've been focused on increasing adoption utilization within the Level 4 centers, that's preponderance of the business and the preponderance of the growth that we've been getting primarily, the growth has been coming from implants and Level 4 centers, we now can layer expanding site of service and continuing to expand pilot activities and then really incorporating CARE more fully across the field, organization and across our customer group in '25.

謝謝 Vik，您一直非常關注 CARE，我對此表示讚賞。我們將 CARE 和 25 年服務機會的擴展視為我們繼續發展和再次擴展業務的重要機會，我們正在進行的增加 RNS 治療機會的策略確實具有我們一直關注的三個板塊關於提高4 級中心內的採用利用率，這是業務的優勢和我們主要獲得的成長的優勢，成長來自植入物和4 級中心，我們現在可以分層擴展服務站點和繼續擴大試點活動，然後在25 年真正將CARE 更全面地納入整個領域、組織和我們的客戶群。

And we'll begin to expand those efforts and expect CARE to expand in '25 as well. And then thirdly layering on indication expansion on top of that, pending the successful clinical trials. So these things all work together. We're seeing the impact of adoption and utilization in Level 4 center focus. We're beginning to see expansion of care and we're going to be focused on expanding all three planks of that strategy and working to build momentum.

我們將開始擴大這些努力，並期望 CARE 也能在 25 年擴大。第三，在此基礎上擴大適應症，等待臨床試驗的成功。所以這些事情都是協同作用的。我們看到了 4 級中心焦點中採用和利用的影響。我們開始看到護理範圍的擴大，我們將專注於擴大該策略的所有三個方面，並努力建立勢頭。

Our next question comes from Ross Osborn with Cantor Fitzgerald. Please proceed with your question.

我們的下一個問題來自羅斯·奧斯本和坎托·菲茨杰拉德。請繼續你的問題。

Hi, congrats on the core and thanks for checking our questions. So starting off, sounds like Project Care. Starting to take off nicely. Would you provide some color on what you're hearing from new accounts outside of all force centers on a level of difficulty or having when launching their programs?

您好，恭喜核心並感謝您檢查我們的問題。首先，聽起來像是「關懷計畫」。開始順利起飛。您能否提供一些關於您從所有部隊中心之外的新帳戶中聽到的關於難度級別或啟動他們的計劃時遇到的情況的信息？

Thanks, Ross. And we've talked a little bit about this previously, accounts are at a kind of different places on the spectrum. Some accounts that, and of course, this is all part of our targeting exercise. But some accounts are really quite experienced with regard to functional neurosurgery as well as their epilepsy programs. And in particular may have people who have prior RNS experience from other institutions or their training, etc.

謝謝，羅斯。我們之前已經討論過這個問題，帳戶處於不同的位置。有些帳戶認為，當然，這都是我們的目標定位活動的一部分。但有些帳戶在功能神經外科及其癲癇項目方面確實非常有經驗。特別是可能有來自其他機構或其培訓等的先前 RNS 經驗的人。

And so for those folks that turn on and turn key processes is relatively quicker in some parts of it. Whereas for others, they may be a part of the target program because they have a particularly robust epilepsy population or in areas where there hasn't been as much RNS penetration from a Level 4 perspective. And so some of those folks can take some more time to kind of get up and running from a training perspective.

因此，對於那些打開和交鑰匙流程的人來說，某些部分的流程相對較快。而對其他人來說，他們可能是目標計畫的一部分，因為他們的癲癇族群特別多，或者從 4 級角度來看，他們所在的地區 RNS 滲透率還沒有那麼高。因此，從培訓的角度來看，其中一些可能需要更多時間來啟動和運行。

So we see people kind of along the continuum, but that's where as well. I think what we're finding is the way we're approaching the program and the flexibility that we have with the program really allows people who are ready to go to more quickly get into doing implants and following and programming patients within their own center with folks who are going to be ready to go, we can get them trained and ready to program and they can be referring people out in the interim while they get ready to do implants.

所以我們看到人們有點沿著連續體，但這也是。我認為我們發現的是我們實施該計劃的方式以及該計劃的靈活性確實允許那些準備好更快地開始在自己的中心內進行植入、跟踪和編程患者對於那些準備好出發的人，我們可以讓他們接受培訓並準備好進行編程，他們可以在他們準備好進行植入的同時將他們推薦出去。

And then for some others, if they want to be referral and programming centers, we can also accommodate that. So I think we see people at different points on the continuum. We also see different ways that increasing access to RNS therapy can allow people to kind of tailor and target integrating RNS into their practices in different ways too.

對於其他一些人，如果他們想成為推薦和程式設計中心，我們也可以滿足。所以我認為我們看到人們處於連續體的不同階段。我們也看到了增加 RNS 治療機會的不同方式，讓人們以不同的方式客製化和瞄準將 RNS 整合到他們的實踐中。

Okay, great. And then any update on the R&D projects for software tools using AI and data analysis?

好的，太好了。那麼使用人工智慧和數據分析的軟體工具的研發項目有什麼更新嗎？

Thanks for asking. Yes, we did mention in part of our discussion around investment and operating expenses here in the quarter. The work that we're doing with regard to AI software tools and data development, as well as next generation platform work. We're particularly excited about a lot of that work that's going on and that's one of the reasons why we've also decided to host an Investor Day.

謝謝你的詢問。是的，我們確實在本季有關投資和營運費用的討論中提到過。我們正在做的工作涉及人工智慧軟體工具和數據開發，以及下一代平台工作。我們對正在進行的大量工作感到特別興奮，這也是我們決定舉辦投資者日的原因之一。

We realize that it's probably been a few years or at least a little while since we've updated people on our market development, product development, clinical development pipelines. And we want to provide folks with some additional insight into what we're doing there is you with regard to AI and software programs that are in particular focused on efficiency and easy use as well as increasing efficacy from the insights they can provide and then more broadly our market development and clinical development pipelines as well.

我們意識到，自從我們向人們通報我們的市場開發、產品開發、臨床開發管道的最新情況以來，可能已經有幾年或至少有一段時間了。我們希望為人們提供一些額外的見解，讓他們了解我們在人工智慧和軟體程式方面所做的事情，這些程式特別關注效率和易用性，以及從他們可以提供的見解中提高功效，然後更多廣泛而言，我們的市場開發和臨床開發管道也是如此。

So we think all that is everything that's underway there we expect to continue to accelerate the trajectory of the business and we want to have an opportunity to more kind of give you kind of more of a full man review of that. And that's part of what we've got planned for our Investor Day. We'll have more kind of more information to come there.

因此，我們認為這就是正在發生的一切，我們希望繼續加速業務的發展軌跡，我們希望有機會為您提供更全面的審查。這是我們為投資者日計劃的一部分。我們將有更多的資訊來到那裡。

Okay, great. Looking forward to the best of your day. Congrats again on the quarter.

好的，太好了。期待您一天中最美好的時光。再次恭喜本季。

Thank You, Ross.

謝謝你，羅斯。

Our next question comes from Michael Polark with Wolf Research. Please proceed with your question.

我們的下一個問題來自 Wolf Research 的 Michael Polark。請繼續你的問題。

Good afternoon. Thank you. Can I ask on the Investor Day timing? Would you have us think about that as something that could align with maybe initial top line view of the Nautilus trial?

午安.謝謝。我可以詢問投資者日的時間嗎？您能否讓我們將其視為可能與鸚鵡螺試驗的最初頂線觀點相一致的東西？

So it's a good question, Mike. Thank you. And there are a number of different factors to consider there from a timing perspective. And so more to come on that as you might imagine, as much as there is going on in the business, there's always a lot to consider with regard to timing. We are going to try and have it be a good nexus of a number of things coming together with regard to the different activities in the business.

所以這是一個很好的問題，麥克。謝謝。從時間角度來看，有許多不同的因素需要考慮。正如您可能想像的那樣，更多的事情還會發生，儘管業務中發生了很多事情，但在時機方面總是有很多需要考慮的事情。我們將努力使其成為業務中不同活動的許多事物的良好聯繫。

And depending on where we're at with study and with Nautilus as well as depending on different activities that we've got going on in the business, we're going to try and coordinate that specifically. But we'll have more on dates here shortly and then you'll be able to plan around that.

根據我們在研究和 Nautilus 方面的進展情況，以及我們在業務中進行的不同活動，我們將嘗試進行具體協調。但我們很快就會在這裡提供更多關於日期的信息，然後您就可以圍繞它進行計劃。

Appreciate that. For my follow up, I want to ask about the two smaller revenue lines replacements in this Pharma collaboration on replacements. The question is just the numbers are very small here. What does that curve look like in '25 off of a low base? Could replacement revenue be up, or would you have us think about similar zip code to where it currently is? And then on Pharma collaboration we know the lifetime value of that arrangement. My question's been on my question is on timing. Is it linear? Is it kind of smooth quarter to quarter over the expected period or has it been a little bit lumpy? I want to make sure we don't have, you know, tough comps on that saying next year versus this year. Thank you so much.

很欣賞這一點。對於我的後續行動，我想詢問有關替代品的製藥合作中兩個較小收入線替代品的情況。問題是這裡的數字非常小。25 年基數較低的情況下，這條曲線是什麼樣子的呢？替代收入是否會增加，或者您可以讓我們考慮與目前類似的郵遞區號？然後在製藥合作方面，我們知道這種安排的終身價值。我的問題是關於時間的問題。是線性的嗎？與預期相比，每季的情況是平穩還是有點不穩定？我想確保我們明年和今年不會有嚴格的比較。太感謝了。

Thanks Mike. I'll ask Rebecca to talk a little bit about each one of those. She's real close to following both our replacement cycle as well as on the revenue recognition site for reports. So, Rebecca.

謝謝邁克。我將請麗貝卡逐一談。她非常接近追蹤我們的更換週期以及收入確認網站上的報告。那麼，麗貝卡。

So what we've shared with regard to replacement revenue is that we believe that really all of the prior generation devices have been replaced. And so what we're seeing now is the beginning of a current generation device is being replaced. Some of that is opportunistic. But we've reached, we can at least say that we've reached the trough. We're not going to go too far just yet. In predicting 2025 we'll have more to say about that later. So, if we can ask you to just be a little patient until we're ready to talk more about 2025 we can at least confirm that we're kind of at the end of that downturn.

因此，關於更換收入，我們分享的是，我們相信實際上所有上一代設備都已更換。所以我們現在看到的是當前一代設備正在被替換。其中一些是機會主義的。但我們已經到了，至少可以說我們已經到了低潮。我們還不會走太遠。在預測 2025 年時，我們稍後會對此進行更多討論。因此，如果我們能請您耐心等待，直到我們準備好更多地談論 2025 年，我們至少可以確認我們已經處於經濟低迷期的尾聲。

Now, with regard to Pharma revenue it is relatively small. We've shared that we expect up to $3.7 million over the course of nine perhaps nine plus quarters. Not a lot of fluctuation there are some fluctuations quarter to quarter, but I'll just say not dramatic.

現在，就製藥收入而言，它相對較小。我們已經表示，我們預計在九個或九個多季度內將達到 370 萬美元。波動不是很大，每季都有一些波動，但我只想說不是劇烈的。

So, considering revenue recognition criteria, which is always a fun topic. There are some fluctuations but maybe not to the extent that you would worry about. I hope that's helpful.

因此，考慮收入確認標準，這始終是一個有趣的話題。有一些波動，但可能沒有達到您擔心的程度。我希望這有幫助。

It was helpful. Thank you.

這很有幫助。謝謝。

Thanks Mike.

謝謝邁克。

We've reached the end of our question-and-answer session. I would now like to turn the floor back over to Joel Becker for closing comments.

我們的問答環節已經結束。我現在想把發言權交還給喬爾·貝克爾（Joel Becker）以供結束評論。

Thank you. Thanks everyone for joining us today. We're pleased with the strong revenue growth of 28% in the third quarter.

謝謝。感謝大家今天加入我們。我們對第三季 28% 的強勁營收成長感到高興。

We're pleased with the where we're at from a guidance perspective and what we're seeing in the second half of the year as well with growth in excess of 20% continuing and continuing our demonstrated operating expense, leverage reduction in cash burn and projection that are current cash position that can support our operating activities for the foreseeable future.

從指導的角度來看，我們對目前的情況以及下半年所看到的情況感到滿意，並且我們的運營支出持續增長超過 20%，現金消耗的槓桿率減少和預測是當前現金狀況可以支持我們在可預見的未來的營運活動。

So, we're excited about all that. We're excited about the fundamentals of the business and the nature and trajectory of the opportunities that we see in front of the business as well. Thanks for your interest in and support our NeuroPace. We look forward to keeping you up to date here on the execution of the strategy as we progress and hope to see it either at AES or our upcoming Investor Day.

所以，我們對這一切感到興奮。我們對業務的基本面以及我們在業務面前看到的機會的性質和軌跡感到興奮。感謝您對我們 NeuroPace 的興趣與支持。隨著我們的進展，我們期待讓您隨時了解該策略的執行情況，並希望在 AES 或即將到來的投資者日看到它。

Thanks again. Good afternoon.

再次感謝。午安.

This includes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

這包括今天的電話會議。此時您可以斷開線路。感謝您的參與。