Inari, a view from the field!

Inari - A view from the field.

A good friend of mine who is a radiologist, wrote to me to correct what I had written on Inari in my end of the month report. I had referred to Inari’s customers as cardiovascular surgeons. He wrote:

“The main targeted physician practice for Inari is in fact NOT cardiovascular surgeons but rather interventional radiologists who mostly perform the procedures in an angiographic suite… Being a breast radiologist, I have many friends who are interventional radiologists who have used both flowtriever and clotriever. Cardiovascular surgeons usually are doing strictly cardiac procedures and open heart surgery. Some other vascular surgeons will perform inari procedures as well as some interventional cardiologists but the Inari sales teams primarily call on and assist interventional radiologists.”

I then asked how his friends who are using Inari like it. He responded:

“They absolutely love it and think it’s superior to traditional thrombolytic agents and much safer. The challenge that they tell me is that it’s expensive and despite great results it can be a challenge to convince hospital administrators to buy Inari products versus traditional means of treatment due to the large price differential. As you know well, administrators are mostly about the bottom line and why would they want to buy a more expensive product when traditional products have and continue to work (albeit less effectively and with a tremendously higher risk of significant morbidity and mortality from hemorrhage). Flowtriever and clottriever are no doubt superior and as you know Inari is making headway despite limited access to physicians by their sales forces during Covid. Once sales people can get into more hospitals and access to C Suites and chairs of radiology, Inari will do even better than they are now.”

Saul here: Since they grew revenue by 144% last quarter, doing even better than now is a lot.

106 Likes

I wanted to point out that in the earnings call on 9th of March, the CEO has said that COVID was a headwind for its procedures. For example:

During Q4, our physician customers performed approximately 4,600 procedures, up 156% from the same quarter last year and up 24% from Q3. While our sequential growth of approximately 25% in both revenue and procedures was strong, we experienced a number of important COVID-related headwinds, both anecdotal and measurable. For example, the COVID surge pushed many hospitals beyond bed capacity, resulting in diversion of patients to other hospitals. When this occurred in our top centers, we saw a measurable decline in procedure volume.

Many times, all of the hospitals in an entire city had more patients than capacity, resulting in medical management of patients who might otherwise have been treated with flow FlowTriever or ClotTriever. Similar to what we have observed earlier in the pandemic, during Q4 and at least some geographic regions, we also believe patients suffering from VTE were likely reluctant to even present for care. Finally, we saw important restrictions to access to hospitals.

The last sentence relates to the sales teams not being able to educate stakeholders about Inari’s advantages.

So, if COVID was a headwind, Inari has even better times ahead.

15 Likes